American Campus Communities expands revolver to $450 million

By Jennifer Chiou

New York, May 25 - American Campus Communities Inc. amended and restated its senior secured revolving credit facility on Friday, increasing the size to $450 million from $225 million, according to an 8-K filed with the Securities and Exchange Commission.

The maturity was also pushed out to May 20, 2014, and there is a one-year extension option.

The Austin, Texas-based owner, manager and developer of student housing properties entered into the amended credit agreement with operating partnership American Campus Communities Operating Partnership LP as borrower and KeyBank NA as the initial issuer of letters of credit, administrative agent and swingline bank; KeyBanc Capital Markets Inc. and J.P. Morgan Securities LLC as joint lead arrangers; JPMorgan Chase Bank, NA as syndication agent; and Bank of America, NA, U.S. Bank NA and Compass Bank as co-documentation agents.

The revolver may be expanded by up to an additional $150 million under certain circumstances.

The agreement also provides for a $200 million senior unsecured term loan with a maturity date of May 20, 2015, and this may be extended by one year as well.

Interest is based on the company's leverage ratio.

Proceeds will be used to, among other things, repay the company's existing $100 million senior secured term loan and $100 million of secured construction debt as well as for the acquisition and/or development of properties, for working capital purposes and for other general corporate purposes.

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