NEWPORT BEACH, Calif., May 29, 2013 (GLOBE NEWSWIRE) -- American Healthcare Investors and Griffin Capital Corporation, the co-sponsors of Griffin-American Healthcare REIT II, Inc., announced today the expansion of the REIT's existing unsecured revolving line of credit from $200 million to $450 million.
Existing lenders Bank of America, N.A., KeyBank National Association, RBS Citizens, N.A., and Comerica Bank are joined by new lenders Barclays Bank PLC, Fifth Third Bank, Wells Fargo Bank, N.A., Credit Agricole Corporate and Investment Bank and Sumitomo Mitsui Banking Corporation. The unsecured credit facility may be utilized to acquire, finance or re-finance properties, as well as for other corporate purposes, and may be increased to $650 million upon meeting certain conditions.
"Since January 2012, the portfolio of Griffin-American Healthcare REIT II has more than tripled in size to approximately $1.5 billion, based on aggregate purchase price, and we continue to source attractive acquisition opportunities and execute our investment strategy on behalf of stockholders," said Jeff Hanson, principal of American Healthcare Investors and chairman and chief executive officer of Griffin-American Healthcare REIT II. "Thanks to our key lending relationships, Griffin-American Healthcare REIT II is well-equipped to continue its rapid growth."
The unsecured credit facility matures on June 5, 2015, but may be extended for one additional year by Griffin-American Healthcare REIT II upon the satisfaction of certain conditions. At the option of the REIT's operating partnership, draws under the facility bear interest at per annum rates equal to (1) the Eurodollar Rate plus a margin ranging from 2.0 percent to 3.0 percent based on the REIT's consolidated leverage ratio or (2) the greater of Bank of America's prime rate, the Federal Funds Rate plus 0.50 percent or the one-month Eurodollar Rate plus 1.0 percent, plus a margin ranging from 1.0 percent to 2.0 percent based on the REIT's consolidated leverage ratio.
As of May 28, 2013, the entire $450 million remained available under the line of credit.
About Griffin-American Healthcare REIT II, Inc.
Griffin-American Healthcare REIT II, Inc. is a real estate investment trust organized to invest in a diversified portfolio of real estate properties, focusing primarily on medical office buildings and healthcare-related facilities. The REIT is co-sponsored by American Healthcare Investors and Griffin Capital Corporation. For more information regarding Griffin-American Healthcare REIT II, please visit www.HealthcareREIT2.com.
About American Healthcare Investors LLC
American Healthcare Investors is an investment management firm that specializes in the acquisition and management of healthcare-related real estate, including medical office buildings, skilled nursing facilities, assisted living facilities and hospitals. The company was founded by nationally recognized real estate investment executives Jeff Hanson, Danny Prosky and Mathieu Streiff, who have completed in excess of $16 billion in aggregate acquisition and disposition transactions during their careers, approximately $6 billion of which has been healthcare-related real estate transactions. For more information regarding American Healthcare Investors, please visit www.AmericanHealthcareInvestors.com.
About Griffin Capital Corporation
Los Angeles-based Griffin Capital Corporation has a sixteen-year track record sponsoring real estate investment vehicles and managing institutional and retail equity capital. Led by senior executives, each with more than two decades of real estate experience, who have collectively closed more than 650 transactions representing in excess of $16.0 billion in transaction value, Griffin Capital has acquired or constructed over 17 million square feet of space since 1996, and currently manages a portfolio of more than 13.4 million square feet located in 28 states, representing approximately $2.2 billion in asset value. For more information regarding Griffin Capital, please visit www.GriffinCapital.com.
This release contains certain forward-looking statements with respect to the REIT's ability to finance or refinance the acquisition of properties using the unsecured line of credit with Bank of America and KeyBank National Association, whether the REIT can continue to source attractive acquisition opportunities and execute its investment strategy, and whether the REIT is well-equipped to continue its rapid growth using the unsecured line of credit. Because such statements include risks, uncertainties and contingencies, actual results may differ materially from those expressed or implied by such forward-looking statements. These risks, uncertainties and contingencies include, but are not limited to, the following: the REIT's strength and financial condition and uncertainties relating to the financial strength of its current and future real estate investments; the continued relationship between the REIT and its lenders; uncertainties relating to the local economies where its real estate investments are located; uncertainties relating to changes in general economic and real estate conditions; uncertainties regarding changes in the healthcare industry; uncertainties relating to the implementation of recent healthcare legislation; the uncertainties relating to the implementation of the REIT's real estate investment strategy; and other risk factors as outlined in the REIT's periodic reports, as filed with the U.S. Securities and Exchange Commission. Forward-looking statements in this document speak only as of the date on which such statements were made, and undue reliance should not be placed on such statements. We undertake no obligation to update any such statements that may become untrue because of subsequent events.