Rexford upsizes with $450 million credit agreement in two tranches

By Wendy Van Sickle

Columbus, Ohio, Feb. 14 – Rexford Industrial Realty, Inc. entered into an agreement for a $450 million senior unsecured credit facility, comprising a $350 million unsecured revolving credit facility and a $100 million unsecured term loan facility, according to a press release.

The credit facility has an accordion feature permitting up to $550 million of additional commitments.

The revolver has an initial maturity on Feb. 12, 2021 and two six-month extension options. The term loan matures on Feb. 14, 2022.

The revolver will bear interest at Libor plus 110 basis points to 150 bps and the term loan at Libor plus 120 bps to 170 bps, both depending on the company’s leverage ratio. The margin is initially 110 bps for the revolver and 120 bps for the term loan.

The revolver has a facility fee of 15 bps to 30 bps, based on leverage ratio, regardless of usage.

The credit agreement replaces a $300 million unsecured credit facility and features better pricing and extended terms over the replaced credit agreement.

“The amended facility significantly increases our balance sheet capacity and flexibility while reducing our cost of capital as we continue to invest in high quality industrial properties within our target Southern California infill submarkets,” Adeel Khan, chief financial officer of the company, said in the release.

Rexford is a Los Angeles-based industrial real estate firm.

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