HOUSTON-Whitestone REIT closed on a restated credit facility that amended its existing $125 million unsecured credit facility to $175 million. Along with adding an additional $50 million to its credit pool, the amended facility has an accordion feature allowing the facility to further increase to $225 million.

Other benefits of the amended facility include a reduction in overall pricing by approximately 1% (LIBOR plus a margin of 1.75% - 2.50% based on overall corporate leverage), while extending the term by two years to Feb. 3, 2017. The local REIT plans to use the new facility for acquisitions, redevelopment of value-add properties in its portfolio and general corporate purposes.

The transaction was led by BMO Capital Markets and Wells Fargo Securities LLC, as co-lead arrangers and joint book runners. Bank of Montreal is serving as the administrative agent. Wells Fargo Bank NA served as syndication agent and US Bank NA served as documentation agent.

“We have significantly improved our unsecured credit facility at terms that we believe include us in the most credit worthy of borrowers and provide the Company with a greater degree of financial flexibility,” says James C. Mastandrea, Whitestone chairman and CEO in a press release. “While opportunistic financing activity remains a strategic focus, the new credit agreement provides us the ability to execute contracts and close quickly on value-add acquisitions as we continue to accelerate our growth."

Whitestone REIT is a fully integrated real estate company that owns, operates and re-develops visibly located properties in established or developing culturally diverse neighborhoods. Headquartered in Houston, the company is internally managed with a portfolio of commercial properties in Texas, Arizona and Illinois.