Brookdale Announces Completion of Financing Transactions
NASHVILLE, Tenn., Jan. 17, 2011 /PRNewswire/ -- Brookdale Senior Living Inc. (NYSE: BKD) announced today that the Company has recently completed multiple mortgage debt financing transactions. First, the Company obtained first mortgage loans in the aggregate principal amount of $77.0 million bearing interest at a blended fixed rate of 6.12% with maturity dates in 2017. The proceeds of the loans, along with cash on hand, were used to repay $100.0 million of loans originally due in 2012, which bore interest at a blended fixed rate of 5.73%. Second, the Company repaid a $33.0 million mortgage loan initially due in 2011 using cash on hand. The loan bore interest at a fixed rate of 10.5%. Finally, the Company exercised its contractual extension rights and extended until 2013, at the same interest rate, $92.1 million in aggregate principal amount of first mortgage loans originally scheduled to mature in 2011.
Bill Sheriff, Brookdale's CEO, commented, "These transactions reduce our overall interest expense and further reduce our 2012 debt maturities. The transactions are also consistent with our previously announced plan to deleverage our balance sheet."
About Brookdale
Brookdale Senior Living Inc. is a leading owner and operator of senior living communities throughout the United States. The Company is committed to providing an exceptional living experience through properties that are designed, purpose-built and operated to provide the highest-quality service, care and living accommodations for residents. Currently the Company owns and operates independent living, assisted living, and dementia-care communities and continuing care retirement centers, with 559 communities in 34 states and the ability to serve over 51,000 residents.
For more information regarding Brookdale and to be added to our email distribution list, please visit www.brookdaleliving.com.
Safe Harbor
Certain items in this press release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Those forward-looking statements are subject to various risks and uncertainties and include all statements that are not historical statements of fact and those regarding our intent, belief or expectations, including, but not limited to, statements relating to our ability to secure financing or repay, replace or extend existing debt at or prior to maturity and our plans to deleverage. Words such as "expect(s)" and similar expressions are intended to identify such forward-looking statements. These statements are based on management's current expectations and beliefs and are subject to a number of factors that could lead to actual results materially different from those described in the forward-looking statements. We can give no assurance that our expectations will be attained. Factors that could cause actual results to differ materially from our expectations include, but are not limited to, the risk associated with the current global economic crisis and its impact upon capital markets and liquidity, the risk that we may not be able to extend (or refinance) debt as it matures, the possibilities that changes in the capital markets, including changes in interest rates and/or credit spreads, or other factors could make financing more expensive or unavailable to us, our ability to obtain additional capital on terms acceptable to us, and other risks detailed from time to time in our filings with the Securities and Exchange Commission. Such forward-looking statements speak only as of the date of this press release. We expressly disclaim any obligation to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in our expectations with regard thereto or change in events, conditions or circumstances on which any statement is based.
SOURCE Brookdale Senior Living Inc.
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