Griffin-American III Secures Credit Facilities of up to $1 Billion
American Healthcare Investors LLC and Griffin Capital Corporation, the co-sponsors of Griffin-American Healthcare REIT III Inc., announced that the REIT and certain subsidiaries have entered into credit facilities totaling $500 million with Merrill Lynch, Pierce, Fenner & Smith Incorporated as joint lead arranger and sole bookrunner.
The credit facilities are comprised of a revolving line of credit with a total maximum principal amount of $300 million and a term loan credit facility in the maximum principal amount of $200 million.
The maximum principal amount of the credit facilities may be increased up to $1 billion in the aggregate upon meeting certain conditions. The credit facilities may be used to acquire, finance or re-finance properties, as well as for other corporate purposes.
Bank of America N.A. will serve as administrative agent, a swing line lender and a letter of credit issuer, while KeyBank, National Association will serve as syndication agent, a swing line lender and a letter of credit issuer.
KeyBanc Capital Markets and Citizens Bank, National Association will also serve as joint lead arrangers, with a syndicate of financial institutions participating, including: Fifth Third Bank, an Ohio Banking Corporation and The Huntington National Bank.
“Thanks in part to lending partners like Bank of America, N.A., KeyBank, National Association and the other lender parties to these new credit facilities, Griffin-American Healthcare REIT III is equipped to continue our efficient portfolio expansion on behalf of our investors,” said Jeff Hanson, a managing director of American Healthcare Investors and chairman and chief executive officer of Griffin-American Healthcare REIT III.
The credit facilities mature on Feb. 3, 2019, but may be extended for one 12-month period by Griffin-American Healthcare REIT III upon the satisfaction of certain conditions.
Griffin-American Healthcare REIT III has acquired a diversified portfolio of medical office buildings, hospitals, senior housing, skilled nursing facilities and integrated senior care campuses totaling approximately 176 buildings, two collateralized notes receivable and a commercial mortgage-backed debt security for an aggregate purchase price of approximately $2.1 billion, as of Feb. 1, 2016.
American Healthcare Investors is an investment management firm that specializes in the acquisition and management of healthcare-related real estate. The company oversees a 590-building, 29 million-square-foot portfolio valued at approximately $8 billion, based on aggregate purchase price, on behalf of multiple investment programs, as of Feb. 1, 2016.
Griffin Capital Corporation is a privately-held, Los Angeles headquartered investment and asset management company. Griffin Capital and its affiliates manage, sponsor and/or co-sponsor a portfolio consisting of approximately 29.8 million square feet of space, located in 29 states and the United Kingdom, representing approximately $5.1 billion in asset value, as of December 15, 2015.
