EPR Properties NYSE:EPR, a real estate investment trust that owns experiential properties such as theaters and attractions, was little changed after entering into a new credit agreement worth $1.6 billion in initial borrowing capacity. It pairs an amended $1.0 billion senior unsecured revolver with a new $600.0 million delayed draw term loan, replacing the existing $1.0 billion facility. EPR can add another $1.0 billion later, to $2.6 billion, subject to lender consent.
The revolver now runs to July 17, 2030 instead of October 2, 2028, with two optional six-month extension periods. EPR said the amendments generally reduce the interest rate on outstanding loans and change how asset values are calculated under certain covenants to include expected proceeds from forward equity contracts. The term loan can be drawn before January 17, 2027 and matures January 17, 2032.
CFO Mark Peterson said the delayed draw term loan "addresses our upcoming debt maturities in August and December of this year," giving EPR committed liquidity in place before those obligations come due.