Invitation Homes Announces $3.5 Billion Unsecured Credit Facility to Replace Existing Facility and Reduce Cost of Debt
Invitation Homes Inc. (NYSE: INVH) has closed a $3.5 billion senior unsecured credit facility, comprising a $1.75 billion revolving line of credit and a $1.75 billion term loan. The facility matures in September 2028, with two 6-month extension options. This new facility replaces the company's existing $1.0 billion revolving credit facility and $2.5 billion unsecured term loan. The increased revolver size is expected to enhance liquidity and balance sheet flexibility for growth opportunities.
Based on INVH's BBB / Baa2 credit rating, the new revolver will bear interest at SOFR + 95 bps for used portions, with a 20 bps fee on aggregate commitments. The term loan will bear interest at SOFR + 105 bps. Both rates are 5 bps lower than the previous facility. The transaction involved 26 lenders, with Bank of America, N.A. as Administrative Agent.
Invitation Homes Inc. (NYSE: INVH) ha chiuso una linea di credito senior non garantita da 3,5 miliardi di dollari, comprendente una linea di credito revolving da 1,75 miliardi di dollari e un prestito a termine da 1,75 miliardi di dollari. La struttura scade a settembre 2028, con due opzioni di estensione di 6 mesi. Questa nuova struttura sostituisce la linea di credito revolving esistente da 1,0 miliardi di dollari e il prestito a termine non garantito da 2,5 miliardi. L'aumento della dimensione della linea di credito revolving è previsto per migliorare la liquidità e la flessibilità del bilancio per opportunità di crescita.
Basato sulla valutazione di credito BBB / Baa2 di INVH, la nuova linea di credito revolving avrà un tasso d'interesse di SOFR + 95 bps per le porzioni utilizzate, con una commissione di 20 bps sugli impegni complessivi. Il prestito a termine avrà un tasso d'interesse di SOFR + 105 bps. Entrambi i tassi sono inferiori di 5 bps rispetto alla struttura precedente. La transazione ha coinvolto 26 finanziatori, con Bank of America, N.A. in qualità di Agente Amministrativo.
Invitation Homes Inc. (NYSE: INVH) ha cerrado una facilidad de crédito senior no garantizada de 3.5 mil millones de dólares, que comprende una línea de crédito rotativa de 1.75 mil millones de dólares y un préstamo a plazo de 1.75 mil millones de dólares. La facilidad vence en septiembre de 2028, con dos opciones de extensión de 6 meses. Esta nueva facilidad reemplaza la línea de crédito rotativa existente de 1.0 mil millones de dólares y el préstamo a plazo no garantizado de 2.5 mil millones. Se espera que el aumento en el tamaño de la línea de crédito rotativa mejore la liquidez y la flexibilidad de balance para oportunidades de crecimiento.
Basado en la calificación crediticia BBB / Baa2 de INVH, la nueva línea de crédito rotativa tendrá un interés de SOFR + 95 bps para las porciones utilizadas, con una tarifa de 20 bps sobre los compromisos agregados. El préstamo a plazo tendrá un interés de SOFR + 105 bps. Ambas tasas son 5 bps más bajas que la facilidad anterior. La transacción involucró a 26 prestamistas, con Bank of America, N.A. como Agente Administrativo.
Invitation Homes Inc. (NYSE: INVH)는 35억 달러 규모의 고급 무담보 신용 시설을 폐쇄했습니다. 이 시설은 17.5억 달러의 회전 신용 한도와 17.5억 달러의 정기 대출로 구성됩니다. 시설은 2028년 9월에 만료되며, 두 번의 6개월 연장 옵션이 있습니다. 이 새로운 시설은 기존의 10억 달러 회전 신용 시설과 25억 달러 무담보 정기 대출을 대체합니다. 회전 신용 한도의 크기 증가로 인해 유동성과 재무 구조의 유연성이 향상되어 성장 기회에 대비할 것으로 예상됩니다.
INVH의 BBB / Baa2 신용 등급을 기준으로, 새로운 회전 신용 한도는 사용된 부분에 대해 SOFR + 95 bps의 이자를 부담하며, 전체 약정에 대해 20 bps의 수수료가 부과됩니다. 정기 대출은 SOFR + 105 bps의 이자를 부담합니다. 두 가지 금리는 이전 시설에 비해 5 bps 낮습니다. 이번 거래에는 26명의 대출자가 참여했으며, Bank of America, N.A.가 관리 에이전트로 있습니다.
Invitation Homes Inc. (NYSE: INVH) a conclu une facilité de crédit senior non garantie de 3,5 milliards de dollars, composée d'une ligne de crédit revolving de 1,75 milliard de dollars et d'un prêt à terme de 1,75 milliard de dollars. La facilité viendra à échéance en septembre 2028, avec deux options d'extension de 6 mois. Cette nouvelle facilité remplace la facilité de crédit revolving existante de 1,0 milliard de dollars et le prêt à terme non garanti de 2,5 milliards de dollars. L'augmentation de la taille de la ligne de crédit revolving devrait améliorer la liquidité et la flexibilité du bilan pour des opportunités de croissance.
Sur la base de la note de crédit BBB / Baa2 d'INVH, la nouvelle ligne de crédit revolving portera intérêt à SOFR + 95 bps pour les montants utilisés, avec des frais de 20 bps sur les engagements globaux. Le prêt à terme portera intérêt à SOFR + 105 bps. Les deux taux sont inférieurs de 5 bps par rapport à la facilité précédente. La transaction a impliqué 26 prêteurs, avec Bank of America, N.A. en tant qu'agent administratif.
Invitation Homes Inc. (NYSE: INVH) hat eine 3,5 Milliarden US-Dollar umfassende unbesicherte Senior-Kreditfazilität abgeschlossen, die eine revolvierende Kreditlinie über 1,75 Milliarden US-Dollar und ein Terminkredit über 1,75 Milliarden US-Dollar umfasst. Die Fazilität läuft im September 2028 aus, mit zwei 6-monatigen Verlängerungsoptionen. Diese neue Fazilität ersetzt die bestehende revolvierende Kreditfazilität über 1,0 Milliarde US-Dollar und das unbesicherte termingebundene Darlehen über 2,5 Milliarden US-Dollar. Die Erhöhung der Revolvergröße wird voraussichtlich die Liquidität und Flexibilität der Bilanz für Wachstumsmöglichkeiten verbessern.
Basierend auf INVHs BBB / Baa2-Kreditbewertung wird der neue revolvierende Kredit einen Zinssatz von SOFR + 95 bps für genutzte Beträge haben, mit einer Gebühr von 20 bps auf die gesamten Verpflichtungen. Der Terminkredit wird einen Zinssatz von SOFR + 105 bps haben. Beide Sätze liegen 5 bps unter dem vorherigen Kredit. Die Transaktion umfasste 26 Kreditgeber, wobei Bank of America, N.A. als Verwaltungsagent fungierte.
- Increased credit facility from $1.0 billion to $3.5 billion, enhancing liquidity and growth potential
- Lower interest rates: 5 bps reduction compared to previous facility
- Extended maturity to September 2028 with options to extend to September 2029
- Improved balance sheet flexibility with larger revolving line of credit
- Strong lender participation with 26 financial institutions involved
- Increased debt load with $750 million borrowing on the new revolver at closing
Insights
Invitation Homes' new
The lower interest rate spreads (
The participation of 26 lenders in this facility demonstrates strong confidence in Invitation Homes' creditworthiness and business model. This robust financial backing positions the company well in the competitive single-family home leasing market.
Invitation Homes' new credit facility signals confidence in the single-family rental market. The increased borrowing capacity suggests the company anticipates growth opportunities, possibly through property acquisitions or portfolio expansion. This move aligns with the broader trend of institutional investors increasing their presence in the single-family rental sector.
The improved financial terms could give Invitation Homes a competitive edge in property acquisitions, allowing them to act swiftly on market opportunities. The extended credit line may also support renovation and property improvement initiatives, enhancing the quality of their portfolio and potentially justifying higher rental rates.
However, investors should monitor the company's leverage levels and occupancy rates, as increased debt could pose risks if market conditions deteriorate. Overall, this financial maneuver positions Invitation Homes to capitalize on the growing demand for single-family rentals, particularly as home ownership remains challenging for many Americans due to high property prices and mortgage rates.
The Revolver and Term Loan will bear interest at spreads based on the Company’s long-term unsecured credit rating. Based on the company’s BBB / Baa2 credit rating at closing, the new Revolver will bear interest at SOFR + 95 bps for any used portion and will incur a fee of 20 bps on the aggregate Revolver commitments. Based on the company’s BBB / Baa2 credit rating at closing, the Term Loan will bear interest at SOFR + 105 bps. For both the Revolver and the Term Loan, spreads at the closing date are 5 bps lower than the spreads most recently in effect for the Company’s previous credit facility.
A total of 26 lenders participated in the Company’s new Credit Facility, including Bank of America, N.A. as Administrative Agent, and Wells Fargo Bank, National Association, and JPMorgan Chase Bank, N.A. as Syndication Agents. BofA Securities, Inc., Wells Fargo Securities, LLC, JPMorgan Chase Bank, N.A., Deutsche Bank Securities Inc., Mizuho Bank, Ltd., and PNC Capital Markets LLC acted as Joint Lead Arrangers and Joint Bookrunners. BMO Capital Markets Corp., BNP Paribas, Capital One, National Association, Goldman Sachs Bank
About Invitation Homes
Invitation Homes, an S&P 500 company, is the nation's premier single-family home leasing and management company, meeting changing lifestyle demands by providing access to high-quality, updated homes with valued features such as close proximity to jobs and access to good schools. The Company's mission, "Together with you, we make a house a home," reflects its commitment to providing homes where individuals and families can thrive and high-touch service that continuously enhances residents' living experiences.
Forward-Looking Statements
This press release contains forward-looking statements 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 “Exchange Act”), which include, but are not limited to, statements related to the Company's expectations regarding the performance of the Company's business, its financial results, its liquidity and capital resources, and other non-historical statements. In some cases, you can identify these forward-looking statements by the use of words such as “outlook,” “guidance,” “believes,” “expects,” “potential,” “continues,” “may,” “will,” “should,” “could,” “seeks,” “projects,” “predicts,” “intends,” “plans,” “estimates,” “anticipates,” or the negative version of these words or other comparable words. Such forward-looking statements are subject to various risks and uncertainties, including, among others, risks inherent to the single-family rental industry and the Company's business model, macroeconomic factors beyond the Company's control, competition in identifying and acquiring properties, competition in the leasing market for quality residents, increasing property taxes, homeowners’ association and insurance costs, poor resident selection and defaults and non-renewals by the Company's residents, the Company's dependence on third parties for key services, risks related to the evaluation of properties, performance of the Company's information technology systems, development and use of artificial intelligence, risks related to the Company's indebtedness, and risks related to the potential negative impact of unfavorable global and
View source version on businesswire.com: https://www.businesswire.com/news/home/20240908740924/en/
Investor Relations Contact:
Scott McLaughlin
844.456.INVH (4684)
IR@InvitationHomes.com
Media Relations Contact:
Kristi DesJarlais
972.421.3587
Media@InvitationHomes.com
Source: Invitation Homes Inc.
FAQ
What is the size of Invitation Homes' new credit facility?
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How does the interest rate on INVH's new credit facility compare to the previous one?
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