First Industrial AG真人官方ty Trust Closes $850 Million Unsecured Revolving Credit Facility and $200 Million Unsecured Term Loan
First Industrial AG真人官方ty Trust (NYSE: FR) has secured significant financing through two major transactions. The company closed an $850 million senior unsecured revolving credit facility, which represents a $100 million increase in capacity from its previous facility. This new facility matures on March 16, 2029, with two six-month extension options, and carries an initial interest rate of SOFR plus 77.5 basis points.
Additionally, FR refinanced a $200 million unsecured term loan maturing on March 17, 2028, with two one-year extension options. The term loan's initial interest rate is SOFR plus 85 basis points plus a 10-basis-point SOFR adjustment. Both facilities benefit from favorable BBB+/Baa1/BBB+ credit ratings level pricing, despite the company's current BBB/Baa2/BBB ratings, contingent on maintaining a consolidated leverage ratio below 35.0%.
First Industrial AG真人官方ty Trust (NYSE: FR) ha ottenuto un finanziamento significativo attraverso due importanti operazioni. L'azienda ha concluso un prestito revolving senior non garantito di 850 milioni di dollari, che rappresenta un aumento della capacit脿 di 100 milioni di dollari rispetto alla sua precedente struttura. Questo nuovo prestito scade il 16 marzo 2029, con due opzioni di estensione di sei mesi, e prevede un tasso d'interesse iniziale di SOFR pi霉 77,5 punti base.
Inoltre, FR ha rifinanziato un prestito a termine non garantito di 200 milioni di dollari in scadenza il 17 marzo 2028, con due opzioni di estensione di un anno. Il tasso d'interesse iniziale del prestito a termine 猫 SOFR pi霉 85 punti base pi霉 un aggiustamento di 10 punti base di SOFR. Entrambe le strutture beneficiano di un pricing favorevole a livello di rating BBB+/Baa1/BBB+, nonostante i rating attuali dell'azienda siano BBB/Baa2/BBB, a condizione di mantenere un rapporto di leva consolidato al di sotto del 35,0%.
First Industrial AG真人官方ty Trust (NYSE: FR) ha asegurado un financiamiento significativo a trav茅s de dos transacciones importantes. La empresa cerr贸 un cr茅dito revolving senior no garantizado de 850 millones de d贸lares, que representa un aumento de 100 millones de d贸lares en la capacidad de su instalaci贸n anterior. Esta nueva instalaci贸n vencer谩 el 16 de marzo de 2029, con dos opciones de extensi贸n de seis meses, y tiene una tasa de inter茅s inicial de SOFR m谩s 77,5 puntos b谩sicos.
Adem谩s, FR refinanci贸 un pr茅stamo a plazo no garantizado de 200 millones de d贸lares que vence el 17 de marzo de 2028, con dos opciones de extensi贸n de un a帽o. La tasa de inter茅s inicial del pr茅stamo a plazo es SOFR m谩s 85 puntos b谩sicos m谩s un ajuste de 10 puntos b谩sicos de SOFR. Ambas instalaciones se benefician de un pricing favorable a nivel de calificaci贸n BBB+/Baa1/BBB+, a pesar de que las calificaciones actuales de la empresa son BBB/Baa2/BBB, condicionado a mantener una relaci贸n de apalancamiento consolidado por debajo del 35,0%.
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霕愴暅, FR鞚� 2028雲� 3鞗� 17鞚� 毵岆霅橂姅 2鞏� 雼煬鞚� 氍措嫶氤� 鞝曣赴 雽�於�鞚� 鞛湹鞛愴枅鞙茧┌, 霊� 臧滌潣 1雲� 鞐办灔 鞓奠厴鞚� 鞛堨姷雼堧嫟. 鞝曣赴 雽�於滌潣 齑堦赴 鞚挫瀽鞙潃 SOFR鞐� 85 氩犾澊鞁滌姢 韽澑韸胳檧 10 氩犾澊鞁滌姢 韽澑韸胳潣 SOFR 臁办爼鞚� 於旉皜霅╇媹雼�. 霊� 鞁滌劋 氇憪 BBB+/Baa1/BBB+ 鞁犾毄 霌标笁 靾橃鞚� 鞙犽Μ頃� 臧�瓴� 順滍儩鞚� 雸勲Μ瓿� 鞛堨溂氅�, 須岇偓鞚� 順勳灛 BBB/Baa2/BBB 霌标笁鞐愲弰 攵堦惮頃橁碃, 韱淀暕 霠堧矂毽 牍勳湪鞚� 35.0% 鞚错晿搿� 鞙犾頃橂姅 臁瓣贝鞛呺媹雼�.
First Industrial AG真人官方ty Trust (NYSE: FR) a s茅curis茅 un financement significatif 脿 travers deux transactions majeures. La soci茅t茅 a cl么tur茅 une facilit茅 de cr茅dit renouvelable senior non garantie de 850 millions de dollars, ce qui repr茅sente une augmentation de 100 millions de dollars par rapport 脿 sa pr茅c茅dente facilit茅. Cette nouvelle facilit茅 arrive 脿 maturit茅 le 16 mars 2029, avec deux options d'extension de six mois, et a un taux d'int茅r锚t initial de SOFR plus 77,5 points de base.
De plus, FR a refinanc茅 un pr锚t 脿 terme non garanti de 200 millions de dollars arrivant 脿 茅ch茅ance le 17 mars 2028, avec deux options d'extension d'un an. Le taux d'int茅r锚t initial du pr锚t 脿 terme est SOFR plus 85 points de base plus un ajustement de 10 points de base de SOFR. Les deux structures b茅n茅ficient d'un niveau de tarification favorable avec des notations de cr茅dit BBB+/Baa1/BBB+, malgr茅 les notations actuelles de l'entreprise de BBB/Baa2/BBB, sous r茅serve de maintenir un ratio d'endettement consolid茅 en dessous de 35,0%.
First Industrial AG真人官方ty Trust (NYSE: FR) hat sich durch zwei bedeutende Transaktionen eine erhebliche Finanzierung gesichert. Das Unternehmen schloss eine unbesicherte revolvierende Kreditfazilit盲t 眉ber 850 Millionen Dollar, die eine Kapazit盲tssteigerung von 100 Millionen Dollar im Vergleich zu seiner vorherigen Fazilit盲t darstellt. Diese neue Fazilit盲t l盲uft am 16. M盲rz 2029 aus, mit zwei sechsmonatigen Verl盲ngerungsoptionen, und hat einen anf盲nglichen Zinssatz von SOFR plus 77,5 Basispunkte.
Dar眉ber hinaus hat FR ein unbesichertes Terminkredit 眉ber 200 Millionen Dollar refinanziert, das am 17. M盲rz 2028 f盲llig wird, mit zwei einj盲hrigen Verl盲ngerungsoptionen. Der anf盲ngliche Zinssatz des Terminkredits betr盲gt SOFR plus 85 Basispunkte plus eine SOFR-Anpassung von 10 Basispunkten. Beide Fazilit盲ten profitieren von einem g眉nstigen Preisniveau mit BBB+/Baa1/BBB+ Kreditratings, trotz der aktuellen BBB/Baa2/BBB Ratings des Unternehmens, vorausgesetzt, dass das konsolidierte Verschuldungsverh盲ltnis unter 35,0% bleibt.
- Secured $850M revolving credit facility with $100M increased capacity
- Favorable pricing at BBB+/Baa1/BBB+ level despite lower actual ratings
- Extended debt maturity profile to potentially 2030 with extension options
- Removed 10 basis point SOFR adjustment from revolving facility pricing
- Additional growth potential through $1B accordion feature
- Increased debt exposure through $1.05B total new facilities
- Subject to interest rate fluctuations with SOFR-based pricing
Insights
First Industrial AG真人官方ty Trust's new debt arrangements represent a significant strengthening of its financial position and future growth capabilities. The company has secured $850 million in revolving credit capacity (a $100 million increase from their previous facility) plus refinanced a $200 million term loan - both with highly favorable terms.
The pricing terms are particularly impressive, as First Industrial secured rates based on a BBB+/Baa1/BBB+ credit rating tier despite actually having BBB/Baa2/BBB ratings. This pricing advantage, available as long as they maintain a leverage ratio below 35%, demonstrates lender confidence in the REIT's financial strength and conservative balance sheet management.
Several key benefits stand out: (1) extended debt maturities to 2029/2030 with extensions, reducing near-term refinancing risk; (2) the removal of the 10 basis point SOFR adjustment on the revolving facility, lowering effective borrowing costs; (3) the accordion feature allowing expansion to $1 billion in revolving capacity, providing additional financial flexibility.
For a logistics-focused REIT with 69.5 million square feet of industrial space, this enhanced borrowing capacity and improved terms create a solid foundation for pursuing acquisition and development opportunities in their target supply-constrained markets without overextending their balance sheet.
This financing package demonstrates First Industrial's proactive capital management approach during a complex interest rate environment. The company has effectively extended its debt maturity profile while simultaneously increasing borrowing capacity and securing pricing typically reserved for higher-rated entities.
The structure reflects sophisticated treasury management - with interest-only payments preserving cash flow, extension options providing flexibility, and the accordion feature creating a pathway to $1 billion in revolving capacity. Most notably, First Industrial has secured these facilities at the BBB+/Baa1/BBB+ pricing tier despite lower formal ratings, indicating their leverage metrics and overall financial position are substantially better than peer averages.
From a strategic perspective, this expanded financial capacity positions the REIT to capitalize on potential acquisition opportunities that may emerge in their 15 target MSAs, particularly in supply-constrained coastal markets where barriers to entry are high and replacement costs continue to increase. The company's focus on these markets, combined with enhanced financial flexibility, creates a competitive advantage in an industrial sector that remains structurally supported by e-commerce and supply chain reconfiguration.
The new revolving credit facility matures on March 16, 2029, with two six-month extension options at the Company's discretion, subject to certain conditions. The facility provides for interest-only payments initially at an interest rate of SOFR plus 77.5 basis points based on the Company's current consolidated leverage ratio and credit ratings. Rates for the new facility no longer include the incremental 10 basis point SOFR adjustment that was part of the previous facility's pricing structure. The facility also provides for a facility fee of 15 basis points and includes an accordion feature that allows First Industrial to increase the aggregate revolving borrowing capacity to
Wells Fargo Securities, LLC, BofA Securities, Inc., PNC Capital Markets LLC and
First Industrial also announced the refinancing of its
Wells Fargo Securities, LLC and PNC Capital Markets LLC served as the Joint Lead Arrangers and Joint Book Runners. Fifth Third Bank, National Association, Regions Capital Markets and BofA Securities, Inc. served as the Joint Lead Arrangers, with Wells Fargo Bank, National Association as Administrative Agent, and PNC Bank, National Association as Syndication Agent.
Given the strength of the Company's key credit metrics, initial pricing for both the senior unsecured revolving credit facility and the unsecured term loan is based on the BBB+/Baa1/BBB+ credit ratings level, even though the Company's current ratings are BBB/Baa2/BBB. This favorable pricing level will be maintained provided that the Company's consolidated leverage ratio, as defined in the applicable agreements, remains less than
"These capital markets transactions support our long-term growth by providing us with expanded capacity and extend the maturity dates to 2030 if we were to exercise our extension options," said Scott Musil, chief financial officer of First Industrial AG真人官方ty Trust, Inc. "We thank our banking partners for their commitments and support."
About First Industrial AG真人官方ty Trust, Inc.
First Industrial AG真人官方ty Trust, Inc. (NYSE: FR) is a leading
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, and Section 21E of the Securities Exchange Act of 1934 ("Exchange Act"). We intend for such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995. Forward-looking statements are based on certain assumptions and describe our future plans, strategies and expectations, and are generally identifiable by use of the words "believe," "expect," "plan," "intend," "anticipate," "estimate," "project," "seek," "target," "potential," "focus," "may," "will," "should" or similar words. Although we believe the expectations reflected in forward-looking statements are based upon reasonable assumptions, we can give no assurance that our expectations will be attained or that results will not materially differ. Factors that could have a materially adverse effect on our operations and future prospects include, but are not limited to: changes in national, international, regional and local economic conditions generally and real estate markets specifically; changes in legislation/regulation (including changes to laws governing the taxation of real estate investment trusts) and actions of regulatory authorities; our ability to qualify and maintain our status as a real estate investment trust; the availability and attractiveness of financing (including both public and private capital) and changes in interest rates; the availability and attractiveness of terms of additional debt repurchases; our ability to retain our credit agency ratings; our ability to comply with applicable financial covenants; our competitive environment; changes in supply, demand and valuation of industrial properties and land in our current and potential market areas; our ability to identify, acquire, develop and/or manage properties on favorable terms; our ability to dispose of properties on favorable terms; our ability to manage the integration of properties we acquire; potential liability relating to environmental matters; defaults on or non-renewal of leases by our tenants; decreased rental rates or increased vacancy rates; higher-than-expected real estate construction costs and delays in development or lease-up schedules; the uncertainty and economic impact of pandemics, epidemics or other public health emergencies or fear of such events; risks associated with security breaches through cyberattacks, cyber intrusions or otherwise, as well as other significant disruptions of our information technology networks and related systems; potential natural disasters and other potentially catastrophic events such as acts of war and/or terrorism; technological developments, particularly those affecting supply chains and logistics; litigation, including costs associated with prosecuting or defending claims and any adverse outcomes; risks associated with our investments in joint ventures, including our lack of sole decision-making authority; and other risks and uncertainties described under the heading "Risk Factors" and elsewhere in our annual report on Form 10-K for the year ended December 31, 2024, as well as those risks and uncertainties discussed from time to time in our other Exchange Act reports and in our other public filings with the Securities and Exchange Commission (the "SEC"). We caution you not to place undue reliance on forward-looking statements, which reflect our outlook only and speak only as of the date of this press release or the dates indicated in the statements. We assume no obligation to update or supplement forward-looking statements. For further information on these and other factors that could impact us and the statements contained herein, reference should be made to our filings with the SEC.
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