BRE locks up $750 million 39-month revolver at Libor plus 120 bps

By Susanna Moon

Chicago, Jan. 5 - BRE Properties, Inc. refinanced its $750 million revolving credit facility with a 39-month agreement of the same size at Libor plus 120 basis points, according to an 8-K filed with the Securities and Exchange Commission.

The company may boost the commitments by another $500 million.

The margin over Libor can range from 100 bps to 185 bps, based on the company's credit ratings.

The initial facility fee is 20 bps. It can range from 15 bps to 45 bps.

The borrowings will mature on April 3, 2015, and the facility may be extended by one year.

BRE closed the facility Thursday with Wells Fargo Bank, NA as administrative agent and issuing bank. Wells Fargo Securities, LLC, Bank of America Merrill Lynch, J.P. Morgan Securities LLC and RBS Securities Inc. are the lead arrangers and the bookrunners.

Bank of America, NA is the syndication agent. JPMorgan Chase Bank, Royal Bank of Scotland plc, PNC Bank, NA and Union Bank, NA are the documentation agents. Regions Bank and U.S. Bank NA are the senior managing agents.

Bank of Montreal, Deutsche Bank Trust Co. Americas, Huntington National Bank, Mizuho Corporate Bank, Ltd., Capital One, NA, City National Bank, Northern Trust Co. and Chang Hwa Commercial Bank, Ltd. are other lenders.

The company drew down $129 million of the revolver on Thursday and used it to repay the previous facility of about $129 million.

BRE Properties is a San Francisco-based real estate investment trust that owns and manages apartment communities.

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