TORONTO, July 17, 2012 /CNW/ - HealthLease Properties Real Estate Investment Trust (the "REIT")(TSX:HLP.UN) announced today that certain of its indirect subsidiaries have entered into a $25,000,000 revolving credit facility (the "Facility") with PNC Bank. The Facility has an initial term of 36 months from closing. The Facility provides for interest-only payments during the term and a borrowing rate of LIBOR (London Interbank Offer Rate) plus 275 to 325 basis points, depending on the total amount drawn. The REIT has provided a guarantee in respect of its subsidiaries' obligations under the Facility.
"The additional net proceeds from the REIT's initial public offering, coupled with the new credit line, further enhances our already strong financial position and puts the REIT in a fantastic spot to be competitive and opportunistic in the marketplace," Chairman and CEO Zeke Turner said.
This press release contains forward-looking statements which reflect the REIT's current expectations regarding future events. The forward-looking statements involve risks and uncertainties, including those set forth in the REIT's final prospectus dated June 8, 2012 under the section "Risk Factors", a copy of which can be obtained at www.sedar.com. Actual results could differ materially from those projected herein. The REIT disclaims any obligation to update these forward-looking statements.
| About HealthLease Properties Real Estate Investment Trust
HealthLease Properties REIT owns a portfolio of seniors housing and care facilities, located in the Midwestern U.S. and Western Canada. The properties meet the needs of modern seniors by emphasizing features such as hotel-like design, private rooms and baths, and hospitality-inspired amenities. The facilities are leased to experienced tenant operators who have significant operational experience in both the U.S. and Canada. The leases are structured as long-term and triple-net, features that provide stability and dependability to the REIT's cash flow and distributions. For more information, visit www.hlpreit.com.
For further information:
Paul Ezekiel Turner
Chief Executive Officer
HealthLease Properties Real Estate Investment Trust