Pebblebrook Hotel Trust Completes $2.0 Billion Refinancing
October 14 2022 - 7:00AM
Business Wire
Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) today
announced that on October 13, 2022, it successfully refinanced $2.0
billion of credit facilities and term loans, resulting in a $650.0
million senior unsecured revolving credit facility (“Credit
Facility”) and three term loans totaling $1.4 billion.
“We are extremely appreciative of our bank group’s continued
strong support for our company and on this significant refinancing
effort,” said Raymond D. Martz, Chief Financial Officer for
Pebblebrook Hotel Trust. “In addition to extending our debt
maturities, this refinancing provides us with enhanced balance
sheet flexibility and capacity.”
The $650.0 million Credit Facility’s maturity was extended to
October 2027, inclusive of two optional six-month extensions. The
Credit Facility’s interest rate is based on a pricing grid, in line
with the prior pricing grid, of 145 to 250 basis points over the
applicable adjusted term SOFR.
The first $460.0 million term loan matures in October 2024. The
second $460.0 million term loan matures in October 2025. The third
$460.0 million term loan matures in October 2027. The interest rate
on all three term loans is based on a pricing grid, in line with
the prior pricing grid, of 140 to 245 basis points over the
applicable adjusted term SOFR.
As of September 30, 2022, after taking into account certain
interest rate swap agreements, approximately 79% of the Company’s
total outstanding debt and convertible notes are fixed at an
average interest rate of approximately 2.7%, and 21% are floating
at an average interest rate of approximately 4.9%.
With the completion of this refinancing, the Company has no
meaningful debt maturities until October 2024.
The Company’s $650.0 million Credit Facility and $1.4 billion of
term loans are jointly led by BofA Securities, Inc.; Capital One,
National Association; PNC Capital Markets LLC; TD Bank, N.A.;
Truist Securities, Inc.; U.S. Bank National Association; and Wells
Fargo Securities, LLC. Bank of America, N.A. serves as the
Administrative Agent. U.S. Bank National Association serves as the
Syndication Agent. Capital One, National Association; PNC Bank,
National Association; TD Bank, N.A.; Truist Bank; and Wells Fargo
Bank, National Association serve as Documentation Agents. Raymond
James Bank, Regions Bank, and Sumitomo Mitsui Banking Corporation
serve as Senior Managing Agents.
About Pebblebrook Hotel
Trust
Pebblebrook Hotel Trust (NYSE: PEB) is a publicly traded real
estate investment trust (“REIT”) and the largest owner of urban and
resort lifestyle hotels in the United States. The Company owns 51
hotels, totaling approximately 12,800 guest rooms across 15 urban
and resort markets. For more information, visit
www.pebblebrookhotels.com and follow us at @PebblebrookPEB.
For additional information or to receive press
releases via email, please visit our website at
www.pebblebrookhotels.com
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version on businesswire.com: https://www.businesswire.com/news/home/20221014005033/en/
Raymond D. Martz, Chief Financial Officer, Pebblebrook Hotel
Trust - (240) 507-1330
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