PNC Moves Fast to Deliver Flexible Revolver to Associated Estates
PNC's ability to underwrite, market and close a broadly syndicated $250 million revolving credit facility for Associated Estates Realty Company (AEC) in the midst of a dynamic credit environment proved crucial in successfully completing this transaction.
AEC is a publically-traded real estate investment trust (REIT) with a portfolio of 52 properties comprising 13,456 units in nine states.
With the objective of growing its portfolio and further enhancing its financial flexibility, AEC needed the $250 million senior unsecured revolving credit facility to replace its $150 million line of credit.
PNC Capital Markets LLC acted as co-lead arranger for the increase and extension of the revolver. PNC Bank, National Association serves as the administrative agent.
The financing will allow AEC to seize opportunities in the years ahead, according to Lou Fatica, chief financial officer. "The steps we have taken to improve our balance sheet in 2010 have positioned us to act quickly as we see opportunities," he noted.