INDIANAPOLIS, March 29, 2021 (GLOBE NEWSWIRE) -- Duke Realty Corporation (NYSE: DRE, or the “Company”), the largest domestic-only logistics REIT, announced today that its operating partnership, Duke Realty Limited Partnership, amended and restated its $1.2 billion unsecured revolving credit facility. The amended and restated credit facility matures March 2025 and allows two six-month extensions and includes an uncommitted incremental facility, which allows the credit facility to be increased by up to $800,000,000. Borrowings under the amended and restated facility will bear interest at the annual rate of LIBOR plus 0.775 percent (subject to a pricing grid for changes in the company’s credit rating) compared to a rate of LIBOR plus 0.875 percent (subject to a pricing grid for changes in the company’s credit rating) under its previous facility. As part of the Company’s commitment to corporate responsibility, the credit facility also includes an incremental reduction in borrowing costs if certain sustainability linked metrics are achieved each year. Thirteen banks, all of whom were existing lenders, participated in the amended and restated facility.
“This facility provides ample liquidity to our already strong balance sheet as we continue to grow our logistics real estate portfolio,” said Mark Denien, Executive Vice President and Chief Financial Officer. “We are pleased to lower our borrowing costs by 10 basis points from our prior facility. As a leader in green industrial project developments and corporate responsibility, we are also proud to incorporate a sustainability component to this credit facility. Lastly, we received strong support from our incumbent banks and would like to thank them for their continued credit commitments to Duke Realty.”
JPMorgan Chase Bank, N.A. and Wells Fargo Securities, LLC were the Joint Lead Arrangers and Joint Book Runners, with JPMorgan Chase Bank, N.A. as Administrative Agent, and Wells Fargo Bank, National Association as Syndication Agent. The Bank of Nova Scotia and Regions Capital Markets, a Division of Regions Bank were Joint Lead Arrangers, and The Bank of Nova Scotia; Barclays Bank PLC; Citibank N.A.; Morgan Stanley Senior Funding, Inc.; PNC Bank, National Association; Regions Bank; Royal Bank of Canada; Truist Bank and U.S. Bank National Association were documentation Agents.
About Duke Realty Corporation
Duke Realty Corporation owns and operates approximately 159 million rentable square feet of industrial assets in 20 major logistics markets. Duke Realty Corporation is publicly traded on the NYSE under the symbol DRE and is a component of the S&P 500 Index. More information about Duke Realty Corporation is available at www.dukerealty.com.
Cautionary Notice Regarding Forward-Looking Statements
This news release may contain forward-looking statements within the meaning of the federal securities laws. All statements, other than statements of historical facts, including, among others, statements regarding the company’s future financial position or results, future dividends, and future performance, are forward-looking statements. Those statements include statements regarding the intent, belief, or current expectations of the company, members of its management team, as well as the assumptions on which such statements are based, and generally are identified by the use of words such as "may," "will," "seeks," "anticipates," "believes," "estimates," "expects," "plans," "intends," "should," or similar expressions although not all forward looking statements may contain such words. Forward-looking statements are not guaranteeing of future performance and involve risks and uncertainties that actual results may differ materially from those contemplated by such forward-looking statements. Many of these factors are beyond the company’s abilities to control or predict. Such factors include, but are not limited to, (i) general adverse economic and local real estate conditions; (ii) the inability of major tenants to continue paying their rent obligations due to bankruptcy, insolvency or a general downturn in their business; (iii) financing risks, such as the inability to obtain equity, debt or other sources of financing or refinancing on favorable terms, if at all, and the company’s ability to retain current credit ratings; (iv) the company’s ability to raise capital by selling its assets; (v) the company’s continued qualification as a real estate investment trust, or REIT, for U.S. federal income tax purposes; (vi) changes in governmental laws and regulations, including changes that may be forthcoming as a result of the change in administration in the U.S.; (vii) the level and volatility of interest rates and foreign currency exchange rates; (viii) valuation of joint venture investments; (ix) valuation of marketable securities and other investments, including volatility in the company’s stock price and trading volume; (x) valuation of real estate and other inherent risks in the real estate business, including, but not limited to, tenant defaults, potential liability relating to environmental matters and liquidity of real estate investments; (xi) increases in operating costs; (xii) changes in the dividend policy for the company’s common stock; (xiii) the reduction in the company’s income in the event of multiple lease terminations by tenants, as well as competition for tenants and potential decreases in property occupancy; (xiv) impairment charges, (xv) the effects of geopolitical instability and risks such as terrorist attacks and trade wars; (xvi) the effects of natural disasters, including floods, droughts, wind, tornadoes and hurricanes; (xvii) the impact of the COVID-19 pandemic on our business, our tenants and the economy in general, including the measures taken by governmental authorities to address it; and (xviii) the effect of any damage to our reputation resulting from developments relating to any of items (i) – (xvii). The company refers you to the section entitled “Risk Factors” contained in the company's Annual Report on Form 10-K for the year ended December 31, 2020. Additional information concerning factors that could cause actual results to differ materially from those forward-looking statements is contained from time to time in the company's filings with the Securities and Exchange Commission. Copies of each filing may be obtained from the company or the Securities and Exchange Commission.
The risks included here are not exhaustive and undue reliance should not be placed on any forward-looking statements, which are based on current expectations. All written and oral forward-looking statements attributable to the company, its management, or persons acting on their behalf are qualified in their entirety by these cautionary statements. Further, forward-looking statements speak only as of the date they are made, and the company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results over time unless otherwise required by law.