Piedmont Office Realty Trust Obtains $250 Million Term Loan
Available for Acquisitions, General Business
ATLANTA, GA (July 28, 2008) – Piedmont Office Realty Trust, Inc. announced today that it has obtained a $250 million unsecured term loan with JPMorgan Chase and Bank of America. Piedmont sought the new term loan for general corporate purposes including potential property acquisitions.
“In a time of significant tightening in the credit market, this unsecured loan speaks to the financial strength of our company,” said Donald A. Miller, CFA, Chief Executive Officer. “This allows us obvious flexibility as we continue to manage and shape our capital structure and portfolio of properties for our investors.”
The new loan syndicate comprises a group of twelve (12) leading banks, including J.P. Morgan Securities Inc. and Banc of America Securities LLC, as co-lead arrangers and book managers. The loan, which matures on June 28, 2010, may be extended for one year.
Piedmont has received investment-grade ratings from both Standard and Poor’s and Moody’s. The company maintains a low level of leverage, with only 25.6 percent debt to real estate assets (per appraised value), as of March 31, 2008.
Piedmont is a public, non-traded REIT specializing in Class-A office properties. As of March 31, Piedmont owned 83 buildings, totaling more than 21 million square feet, in 23 states and Washington, D.C. Properties include the corporate headquarters of such organizations as U.S. Bancorp, NASA and Nestlé USA. Across the portfolio, Piedmont properties are approximately 94 percent leased. For more information, see www.piedmontreit.com.