Mid-America enters $250 million credit facility at Libor plus 190 bps

By Aleesia Forni

Columbus, Ohio, Nov. 3 - Mid-America Apartment Communities, Inc. entered into a new $250 million senior unsecured revolving credit facility.

Pricing on the facility is based on the company's ratio of consolidated total indebtedness to consolidated total asset value and ranges from Libor plus 165 basis points to 240 bps.

If the company obtains an investment-grade credit rating and elects to use this rating as the basis for the facility's applicable margin, pricing will range from Libor plus 105 bps to 185 bps.

The initial applicable margin is Libor plus 190 bps.

Facility fees are based on the company's credit rating and range from 20 bps to 40 bps.

The facility has an initial term of four years, and the company has the option to extend the facility for one year.

The facility contains an according feature, allowing Mid-America to increase the total amount to $400 million.

On Nov. 1, the company borrowed $12 million under this new revolver to pay down its existing credit facilities.

The company intends to use additional proceeds under the revolver to refinance existing facilities, acquisitions and other general corporate purposes.

KeyBanc Capital Markets and Wells Fargo Securities LLC are joint lead arrangers and joint book managers.

KeyBank NA is administrative agent, while Wells Fargo Bank NA is syndication agent.

JPMorgan Chase Bank NA, Regions Bank and UBS Securities LLC are co-documentation agents.

Mid-America is a Memphis, Tenn.-based real estate investment trust.

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