New York, NY Capital One served as joint lead arranger, joint bookrunner, and administrative agent for a $430 million, seven-year, senior unsecured term loan facility to Essential Properties Realty Trust. The term loan will mature in November 2026 and has an accordion feature that will increase the facility’s availability, subject to certain conditions, to $500 million.
Upon the transaction’s close, Essential Properties voluntarily prepaid $70.4 million of its Series 2016-1 ABS Notes at par plus accrued interest, cancelled class A Series 2016-1 ABS Notes that it had purchased in May 2019 and provided capacity for future growth while extending their debt maturities.
“In addition to providing a smooth and timely execution process, Capital One brought in significant capacity from new lenders to this transaction,” said Hillary Hai, chief financial officer of Essential Properties.
Seven other financial institutions participated in the loan syndication.
Essential Properties acquires, owns, and manages primarily single-tenant properties leased to middle-market companies operating service-oriented and experience-based businesses. It is using the proceeds from the facility for acquisitions, working capital, capital expenditures, and repayment of indebtedness.
Capital One Bank’s Commercial Real Estate Group offers a comprehensive array of financing solutions for property owners and developers nationwide, including balance sheet and agency lending.