Reduces Borrowing Cost by Five Basis Points
and Extends Maturity to 2029
ROYAL
OAK, Mich., Aug. 8,
2024 /PRNewswire/ -- Agree Realty Corporation (NYSE:
ADC) (the "Company") today announced it has entered into a Fourth
Amended and Restated Revolving Credit Agreement which increases its
senior unsecured revolving credit facility (the "Credit Facility")
to $1.25 billion. The Credit Facility
includes an accordion option that allows the Company to request
additional lender commitments up to a total of $2.0 billion. The Credit Facility will mature in
August 2028 with Company options to
extend the maturity date to August 2029.
"This expanded Credit Facility bolsters our fortress balance
sheet and provides us with significant capacity as we continue to
expand our pipeline," said Peter
Coughenour, Chief Financial Officer. "We greatly appreciate
the strong support of our bank group. We now enjoy approximately
$1.7 billion of total liquidity which
excludes the Credit Facility's $750
million accordion option."
Based on the Company's current credit ratings and leverage
ratio, borrowings under the Credit Facility will bear interest at a
rate of SOFR plus 82.5 basis points including a credit spread
adjustment, which was reduced from a rate of SOFR plus 87.5 basis
points including a credit spread adjustment under the Third Amended
and Restated Revolving Credit Agreement.
About Agree Realty Corporation
Agree Realty Corporation is a publicly traded real estate
investment trust that is
RETHINKING RETAIL through the acquisition
and development of properties net leased to industry-leading,
omni-channel retail tenants. As of June 30,
2024, the Company owned and operated a portfolio of 2,202
properties, located in 49 states and containing approximately 45.8
million square feet of gross leasable area. The Company's common
stock is listed on the New York Stock Exchange under the symbol
"ADC". For additional information on the Company and
RETHINKING RETAIL, please visit
www.agreerealty.com.
Forward-Looking Statements
This press release may contain forward-looking statements,
including statements about the interest rate on our Credit
Facility, within the meaning of Section 27A of the Securities Act
of 1933, as amended and Section 21E of the Securities Exchange Act
of 1934, as amended. The Company intends 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 and includes this statement for
purposes of complying with these safe harbor provisions.
Forward-looking statements are generally identifiable by use of
forward-looking terminology such as "may," "can," "will," "should,"
"potential," "intend," "expect," "seek," "anticipate," "estimate,"
"approximately," "believe," "could," "project," "predict,"
"forecast," "continue," "assume," "plan," "outlook" or other
similar words or expressions. Forward-looking statements are based
on certain assumptions and can include future expectations, future
plans and strategies, financial and operating projections or other
forward-looking information.
Although these forward-looking statements are based on good
faith beliefs, reasonable assumptions and the Company's best
judgment reflecting current information, you should not rely on
forward-looking statements since they involve known and unknown
risks, uncertainties and other factors which are, in some cases,
beyond the Company's control and which could materially affect the
Company's results of operations, financial condition, cash flows,
performance or future achievements or events. Currently, some of
the most significant factors include the potential adverse effect
of ongoing worldwide economic uncertainties. The extent to which
these conditions will impact the Company and its tenants will
depend on future developments, which are highly uncertain and
cannot be predicted with confidence. Moreover, investors are
cautioned to interpret many of the risks identified in the risk
factors discussed in the Company's Annual Report on Form 10-K and
subsequent quarterly reports filed with the U.S. Securities and
Exchange Commission (the "SEC"), as well as the risks set forth
below, as being heightened as a result of the ongoing and numerous
adverse impacts of the macroeconomic environment. Additional
important factors, among others, that may cause the Company's
actual results to vary include the weakening of real estate
markets, decreases in the availability of credit, increases in
interest rates, adverse changes in the retail industry and the
Company's continuing ability to qualify as a REIT and other factors
discussed in the Company's reports filed with the SEC. The
forward-looking statements included in this press release are made
as of the date hereof. Unless legally required, the Company
disclaims any obligation to update any forward-looking statements,
whether as a result of new information, future events, changes in
the Company's expectations or assumptions or otherwise.
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SOURCE Agree Realty Corporation