Invitation Homes (INVH) closes $3.5 billion credit facility.

Invitation Homes (INVH) announced today that it has closed a $3.5 billion unsecured credit facility, consisting of a $1.0 billion revolving credit agreement and a fully funded $2.5 billion term loan.  Initial maturities are January 2025, with extension options for two additional 6-month periods.  The revolver is priced at L+170 and L+165 for the term loan.  Spreads on both facilities will tighten upon achievement of an investment grade rating.

The company said that the $1.0 billion revolving credit facility is currently undrawn.  Proceeds from the $2.5 billion term loan were used to retire a $1.5 billion unsecured term loan facility due 2022 and repay securitized debt.  As a result of the refinancing, INVH said the percentage of unencumbered homes in its portfolio increased from 51% to 56%.

Invitation Homes is one of the largest owners of single-family residential properties in the U.S. with a current portfolio of 79,397 homes in 17 markets.  As of September 30, 2020, INVH had a total market capitalization of approximately $24 billion.

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12/09/2020