Host Hotels & Resorts closes on new $1 billion revolver due 2015

By Angela McDaniels

Tacoma, Wash., Nov. 22 - Host Hotels & Resorts, Inc. closed a new $1 billion revolving credit facility due November 2015, according to a company news release.

The new revolver represents a $400 million increase over the company's existing facility, which was scheduled to mature in September 2012.

The new revolver has a $500 million accordion feature.

The company has the option to extend the maturity date by one year, subject to some conditions and the payment of an extension fee.

The interest rate is Libor plus 175 basis points to 275 bps. The spread depends on the company's leverage ratio.

About $116 million is outstanding under the new revolver.

Bank of America Merrill Lynch, J.P. Morgan Securities, LLC and Wells Fargo Securities, LLC acted as bookrunners and lead arrangers.

The number of participating banks increased to 14 from 10, and the new revolver doubles the number of foreign currencies in which the company can borrow on the facility, executive vice president and chief financial officer Larry Harvey noted in the release.

Host Hotels & Resorts is a lodging real estate investment trust based in Bethesda, Md.

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