CLEVELAND, June 15 /PRNewswire-FirstCall/ -- KeyBank Real Estate Capital announced today that it has closed and syndicated a fully underwritten $600 million loan to San Diego-based BioMed Realty Trust, Inc.
Key served as the administrative agent and lead arranger on the transaction, which included a three-year, $250 million senior unsecured revolving line of credit; a three-year, $100 million senior unsecured term loan; and a five-year, $250 million senior secured term loan. Key was able to commit to the transaction in seven days. For the first quarter of 2005, Key ranked fourth among bank holding companies for number of lead-arranged REIT deals, according to Loan Pricing Corporation.
The transaction was structured to fund BioMed’s acquisition of a portfolio of properties with cash and helped to nearly double the company’s balance sheet size to approximately $1.2 billion. Proceeds from the transaction were used primarily to complete several acquisitions, including BioMed’s previously announced acquisition of a portfolio of seven properties and one parking structure in Cambridge, Ma., and an additional property in Lebanon, N.H. from The Lyme Timber Company, an affiliate of Lyme Properties.
The Lyme portfolio totals 1.1 million of rentable square feet of laboratory and office space, in addition to a parking structure with 447 spaces, that are currently 97 percent leased with an average remaining term of ten years. The total purchase price was approximately $523.6 million, excluding closing costs, and was paid in cash and through the assumption of approximately $131.2 million of indebtedness. In addition, the proceeds from the transaction were used to retire BioMed’s existing $100 million senior unsecured line of credit and will provide for future working capital purposes.
BioMed Realty Trust, Inc. is a real estate investment trust focused on acquiring, developing, owning, leasing and managing laboratory and office space in the life sciences industry. Upon completing the acquisition, BioMed’s real estate portfolio now totals 32 properties, representing 55 buildings with approximately 4.2 million rentable square feet in all of the major life science markets in the United States.
KeyBank Real Estate Capital, which posted nearly $19 billion in annual financings last year, is the commercial real estate division of Cleveland- Based KeyCorp . KeyCorp is one of the nation’s largest bank-based financial services companies, with assets of approximately $90 billion.
“The KeyBank team exemplified themselves as experts in the structure of REITs,” said Alan D. Gold, president and chief executive officer of BioMed Realty Trust. “The ease and speed with which they closed this deal were critical to us. Their working knowledge of the portfolio and industry contacts played an important role in successfully closing and syndicating the transaction.”
“We are particularly pleased that BioMed selected us to lead a loan syndication of this magnitude,” said Scott Childs, a senior relationship manager at KeyBank Real Estate Capital who served as the lead lender on the deal. “Our focus every day is to deliver comprehensive solutions that matter to our clients, and we look forward to working with BioMed on future opportunities.”
About BioMed Realty Trust
BioMed Realty Trust, Inc. is a real estate investment trust (REIT) focused on acquiring, developing, owning, leasing and managing laboratory and office space for the life science industry. The Company’s tenants include biotechnology and pharmaceutical companies, scientific research institutions, government agencies and other entities involved in the life science industry. BioMed’s current properties and primary acquisition targets are located in markets with well established reputations as centers for scientific research, including Boston, San Diego, San Francisco, Seattle, Maryland, Pennsylvania and New York/New Jersey. Additional information is available at http://www.biomedrealty.com.
About KeyBank Real Estate Capital
KeyBank Real Estate Capital is the nation’s third-largest commercial real estate capital provider with nearly $19 billion in annual financings. It provides construction and interim loans, mezzanine financing, private equity, commercial mortgages, investment banking and loan sales and syndications services nationwide for virtually all property types. Its 750 financing professionals serve a national client base through 36 locations in major U.S. markets. KeyBank Real Estate Capital is a business unit of KeyBank National Association, a subsidiary of Cleveland-based KeyCorp, one of the nation’s largest bank-based financial services companies, with assets of approximately $90 billion.
KeyCorp
CONTACT: David Reavis of KeyCorp, +1-216-689-1769, ordavid_reavis@keybank.com