COMMUNITY HEALTHCARE TRUST INCORPORATED (NYSE:CHCT) Files An 8-K Other EventsItem 8.01 Other Events
On March 27, 2018, Community Healthcare Trust Incorporated (the “Company”) entered into an amendment (the "Amendment") to its Second Amended and Restated Credit Agreement (the "Credit Agreement") to reduce the pricing margins on its LIBOR borrowings and to increase the maximum swingline commitment from $15.0 million to $20.0 million. Under the Amendment, amounts outstanding under the revolving facility will bear annual interest at a floating rate equal to (x) LIBOR plus (y) a margin ranging from 1.75% to 2.50% (currently, 2.00%) and under the term loans will bear annual interest at a floating rate equal to (x) LIBOR plus (y) a margin ranging from 1.95% to 2.65%.(currently 1.95% for the 5-year term loan and 2.15% for the 7-year term loan). Payments under the Credit Agreement are interest only, with the full amount of the principal due at maturity. The Credit Agreement may be prepaid at any time, without penalty.
On March 29, 2018, the Company borrowed the remaining $40 million, under its available term loans, in equal amounts of 5 and 7-year maturities. Also, on March 29, 2018, the Company entered into interest rate swap agreements that fixed the interest rates on the term loans, resulting in fixed interest rates under the term loans ranging from 4.579% to 4.6255% depending on the maturity, the Company’s leverage, and other factors.
The amounts borrowed under the Company's term loans were to a delayed draw feature available in the Credit Agreement, dated as of March 29, 2017, by and among the Company and the several banks and financial institutions. The 5-year term loan facility matures in March 2022 and the 7-year term loan facility matures in March 2024. Each of the aforementioned interest rate swaps will match the maturity date of the applicable term loan.
About COMMUNITY HEALTHCARE TRUST INCORPORATED (NYSE:CHCT)
Community Healthcare Trust Incorporated is an integrated healthcare real estate company. The Company owns and acquires, or finances, real estate properties that are leased to hospitals, doctors, healthcare systems or other healthcare service providers in non-urban markets. The Company holds interests in approximately 40 real estate properties and mortgage notes, located in over 20 states, totaling approximately 789,500 square feet. Its medical offices are located in Alabama, Florida, Georgia, Illinois, Kansas, Kentucky, Ohio and Texas. The Company’s physician clinics are located in Alabama, Arizona, Florida, Kansas, Pennsylvania, Virginia and Wisconsin. Its ambulatory surgery centers are located in Arizona, Colorado, Michigan, Ohio, Pennsylvania, South Carolina and Texas. The Company’s dialysis clinics are located in Colorado, Georgia, Kentucky, Ohio, Tennessee and Texas. The Company’s oncology centers are located in Alabama. Its behavioral facilities are located in Indiana.