GERMANTOWN, Tenn.,
Nov. 18, 2019 /PRNewswire/ -- Mid-America Apartment
Communities, Inc. (NYSE: MAA) today announced that its operating
partnership, Mid-America Apartments, L.P. ("MAALP") priced a
$300 million offering of MAALP's
2.750% senior unsecured notes due 2030 (the "Notes") under its
existing shelf registration statement. The Notes were priced at
99.762% of the principal amount. The closing of the offering
is expected to occur on November 26,
2019, subject to the satisfaction of customary closing
conditions.
MAALP intends to use net proceeds from the offering to repay a
portion of the borrowings outstanding under its unsecured
commercial paper program, and for general corporate purposes, which
may include, without limitation, the repayment of other debt and
the acquisition, development and redevelopment of apartment
communities.
Wells Fargo Securities, LLC, Citigroup Global Markets Inc.,
Jefferies LLC, J.P. Morgan Securities LLC and SunTrust Robinson
Humphrey, Inc. were the joint book-running managers for the
offering.
A registration statement relating to these securities has been
filed with the Securities and Exchange Commission and has become
effective. The offering of these securities will be made only by
means of a prospectus supplement and accompanying prospectus.
Copies of these documents may be obtained from: Wells Fargo
Securities, LLC, 608 2nd Avenue South, Suite 1000,
Minneapolis, MN 55402, Attention:
WFS Customer Service, or by calling: 1-800-645-3751, or
by emailing: wfscustomerservice@wellsfargo.com; Citigroup Global
Markets Inc., c/o Broadridge Financial Solutions, 1155 Long Island
Avenue, Edgewood, NY 11717, or by
calling 1-800-831-9146, or by emailing:
prospectus@citi.com; Jefferies LLC, 520 Madison Avenue,
New York, NY 10022, Attention:
Investment Grade Syndicate Desk, or by calling: 1-877-877-0696;
J.P. Morgan Securities LLC, 383 Madison Avenue, New York, NY 10179; Attention: Investment
Grade Syndicate Desk, or by calling: 1-212-834-4533; and
SunTrust Robinson Humphrey, Inc., 303 Peachtree Street,
Atlanta, GA 30308, Attention:
Prospectus Department, or by calling: 1-800-685-4786, or by
emailing: strhdocs@suntrust.com. Alternatively, investors may
obtain these documents, when available, for free by visiting EDGAR
on the Securities and Exchange Commission's website at
www.sec.gov.
This press release shall not constitute an offer to sell or a
solicitation of an offer to buy the Notes, nor shall there be any
sale of the Notes in any jurisdiction in which such offer,
solicitation, or sale would be unlawful under the securities laws
of any such jurisdiction.
About MAA
MAA is a self-administered real estate
investment trust ("REIT") and member of the S&P 500. MAA has
ownership interest in apartment communities throughout the
Southeast, Southwest and Mid-Atlantic regions of the U.S. and is
focused on delivering strong, full-cycle investment performance for
shareholders.
Forward-Looking Statements
Sections of this press
release contain forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended, and Section
21E of the Securities Exchange Act of 1934, as amended, with
respect to our expectations for future periods. Forward-looking
statements do not discuss historical fact, but instead include
statements related to expectations, projections, intentions or
other items related to the future. Such forward-looking statements
include, without limitation, statements concerning forecasted
operating performance and results, property acquisitions and
dispositions, joint venture activity, development and renovation
activity as well as other capital expenditures, capital raising
activities, rent and expense growth, occupancy, financing
activities, and interest rate and other economic expectations.
Words such as "expects," "anticipates," "intends," "plans,"
"believes," "seeks," "estimates," and variations of such words and
similar expressions are intended to identify such forward-looking
statements. Such forward-looking statements involve known and
unknown risks, uncertainties and other factors, as described below,
which may cause our actual results, performance or achievements to
be materially different from the results of operations, financial
conditions or plans expressed or implied by such forward-looking
statements. Although we believe that the assumptions underlying the
forward-looking statements contained herein are reasonable, any of
the assumptions could be inaccurate, and therefore such
forward-looking statements included in this release may not prove
to be accurate. In light of the significant uncertainties inherent
in the forward-looking statements included herein, the inclusion of
such information should not be regarded as a representation by us
or any other person that the results or conditions described in
such statements or our objectives and plans will be achieved.
The following factors, among others, could cause our actual
results, performance or achievements to differ materially from
those expressed or implied in the forward-looking statements:
- inability to generate sufficient cash flows due to market
conditions, changes in supply and/or demand, competition, uninsured
losses, changes in tax and housing laws, or other factors;
- exposure, as a multifamily focused REIT, to risks inherent in
investments in a single industry and sector;
- adverse changes in real estate markets, including, but not
limited to, the extent of future demand for multifamily units in
our significant markets, barriers of entry into new markets which
we may seek to enter in the future, limitations on our ability to
increase rental rates, competition, our ability to identify and
consummate attractive acquisitions or development projects on
favorable terms, our ability to consummate any planned dispositions
in a timely manner on acceptable terms, and our ability to reinvest
sale proceeds in a manner that generates favorable returns;
- failure of new acquisitions to achieve anticipated results or
be efficiently integrated;
- failure of development communities to be completed within
budget and on a timely basis, if at all, to lease-up as anticipated
or to achieve anticipated results;
- unexpected capital needs;
- changes in operating costs, including real estate taxes,
utilities and insurance costs;
- inability to obtain appropriate insurance coverage at
reasonable rates, or at all, or losses from catastrophes in excess
of our insurance coverage;
- ability to obtain financing at favorable rates, if at all, and
refinance existing debt as it matures;
- level and volatility of interest or capitalization rates or
capital market conditions;
- loss of hedge accounting treatment for interest rate
swaps;
- the continuation of the good credit of our interest rate swap
providers;
- price volatility, dislocations and liquidity disruptions in the
financial markets and the resulting impact on financing;
- the effect of any rating agency actions on the cost and
availability of new debt financing;
- the effect of the phase-out of the London Interbank Offered
Rate, or LIBOR, as a variable rate debt benchmark by the end of
2021 and the transition to a different benchmark interest
rate;
- significant decline in market value of real estate serving as
collateral for mortgage obligations;
- significant change in the mortgage financing market that would
cause single-family housing, either as an owned or rental product,
to become a more significant competitive product;
- our ability to continue to satisfy complex rules in order to
maintain our status as a REIT for federal income tax purposes, the
ability of MAALP to satisfy the rules to maintain its status as a
partnership for federal income tax purposes, the ability of our
taxable REIT subsidiaries to maintain their status as such for
federal income tax purposes, and our ability and the ability of our
subsidiaries to operate effectively within the limitations imposed
by these rules;
- inability to attract and retain qualified personnel;
- cyber liability or potential liability for breaches of our
privacy or information security systems, or business operations
disruptions;
- potential liability for environmental contamination;
- adverse legislative or regulatory tax changes;
- legal proceedings relating to various issues, which, among
other things, could result in a class action lawsuit;
- compliance costs associated with laws requiring access for
disabled persons or similar regulatory requirements; and
- other risks identified in this press release and, from time to
time, in reports we file with the SEC or in other documents that we
publicly disseminate.
New factors may also emerge from time to time that could have a
material adverse effect on our business. Except as required
by law, we undertake no obligation to publicly update or revise
forward-looking statements contained in this release to reflect
events, circumstances or changes in expectations after the date of
this release.
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SOURCE MAA