September 26, 2014
REIT Issuer:
Japan Hotel REIT Investment Corporation (TSE code: 8985)
Yukio Isa, Executive Director
Asset Management Company:
Japan Hotel REIT Advisors Co., Ltd.
Hisashi Furukawa, Representative Director and President
Contact:Kazuyuki Udo Director and Officer
Management & Planning Office
TEL:+81-3-6422-0530
Notice Concerning New Loan (Determination of Conditions and Interest Rates, etc.)
With reference to the new loan (hereinafter called "New Loan") announced by our press release "Notice Concerning New Loan (New Loan and Refinancing)" dated August 20, 2014, Japan Hotel REIT Investment Corporation (hereinafter called "JHR") informs you that the conditions and interest rates have been determined as follows.
Please refer to "2. Details of Repayment" for the repayment of existing loans. A part of funds from the New
Loan will be utilized for refinancing. Repayment of existing loans will take place as a part of refinancing.
1. Details of the New Loan
(1) Term Loan 5 (Term : 5 years)
Lenders | Sumitomo Mitsui Banking Corporation / Mizuho Bank, Ltd. / Resona Bank, Limited / Shinsei Bank, Limited / Sumitomo Mitsui Trust Bank, Limited / The Nomura Trust and Banking Co., Ltd. / Hiroshima Bank, Ltd. / Development Bank of Japan Inc. / The Bank of Fukuoka, Ltd. / Sompo Japan Nipponkoa Insurance Inc. |
Amount of the new loan | JPY6.794B |
Interest rate | Base interest rate (Japanese Yen TIBOR for three months in JBA)+0.50%(*) |
Date of borrowing | September 30, 2014 |
Method of borrowing | Individual loan contracts to be concluded with the lenders indicated above on September 26, 2014 (today) based on the Basic Agreement concluded on November 13, 2013 (including subsequent amendments). |
Interest payment date | The first interest payment date is December 30, 2014. Subsequent interest payment dates shall be at the end of every three months and on the maturity date. (If the payment date is not a business day, it shall be paid on the preceding business day.) |
Method of the | Lump-sum payment on the maturity date |
1
principal repayment | |
Maturity date | September 30, 2019 |
Collateral | unsecured, unguaranteed |
(2) Term Loan 6 (Term: 6 years)
Lenders | Sumitomo Mitsui Banking Corporation / Mizuho Bank, Ltd. / Resona Bank, Limited / Shinsei Bank, Limited / The Tokyo Star Bank, Limited / Sumitomo Mitsui Trust Bank, Limited / Development Bank of Japan Inc. / Aozora Bank, Ltd. (new lender) |
Amount of the new loan | JPY6.882B |
Interest rate | Base interest rate (Japanese Yen TIBOR for three months in JBA)+0.55%(*) |
Date of borrowing | September 30, 2014 |
Method of borrowing | Individual loan contracts to be concluded with the lenders indicated above on September 26, 2014 (today) based on the Basic Agreement concluded on November 13, 2013 (including subsequent amendments). |
Interest payment date | The first interest payment date is December 30, 2014. Subsequent interest payment dates shall be at the end of every three months and on the maturity date. (If the payment date is not a business day, it shall be paid on the preceding business day.) |
Method of the principal repayment | Lump-sum payment on the maturity date |
Maturity date | September 30, 2020 |
Collateral | unsecured, unguaranteed |
(3) Term Loan 7 (Term: 7 years)
Lenders | Sumitomo Mitsui Banking Corporation / Mizuho Bank, Ltd. / Resona Bank, Limited / Shinsei Bank, Limited / Sumitomo Mitsui Trust Bank, Limited |
Amount of the new loan | JPY4B |
Interest rate | Base interest rate (Japanese Yen TIBOR for three months in JBA)+0.60%(*) |
Date of borrowing | September 30, 2014 |
Method of borrowing | Individual loan contracts to be concluded with the lenders indicated above on September 26, 2014 (today) based on the Basic Agreement concluded on November 13, 2013 (including subsequent amendments). |
Interest payment date | The first interest payment date is December 30, 2014. Subsequent interest payment dates shall be at the end of every three months and on the maturity date. (If the payment date is not a business day, it shall be paid on the preceding business day.) |
Method of the | Lump-sum payment on the maturity date |
2
principal repayment | |
Maturity date | September 30, 2021 |
Collateral | unsecured, unguaranteed |
(*) Please refer to the website of JBA TIBOR Administration for confirming the base interest rate
(Japanese Yen TIBOR for three months in JBA) http://www.jbatibor.or.jp/rate/http://www.jbatibor.or.jp/rate/.
The base interest rate for the first compounding interval (September 30, 2014 through December 30, 2014) is to be 0.21%.
2. Details of Repayment
Name of Loan | Lender | Date of the Borrowing | Maturity Date | Amount of Scheduled Repayment (JPY M) (*1) |
(1) Prepayment of the short-term loans for the acquisition of Best Western Hotel Sapporo Nakajima Koen on July 9, 2014 | ||||
Term Loan 3 | Sumitomo Mitsui Banking Corporation | July 9, 2014 | July 9, 2015 | 4,800 |
Term Loan 4 | Sumitomo Mitsui Trust Bank, Limited | July 9, 2014 | July 9, 2015 | 2,000 |
(2) Prepayment of the existing long-term loans | ||||
Facility H (*2) | Sumitomo Mitsui Banking Corporation Mizuho Bank, Ltd. The Norinchukin Bank | February 15, 2011 | February 15, 2015 | 2,219 |
Facility I | MetLife Insurance K.K. | February 15, 2011 | February 15, 2018 | 4,963 |
(3) Refinancing of the existing loan with maturity date on September 30, 2014 | ||||
Tranche E | Sumitomo Mitsui Banking Corporation Resona Bank, Limited Shinsei Bank, Limited Sumitomo Mitsui Trust Bank, Limited | May 31, 2011 | September 30, 2014 | 3,067 |
(*1) Numbers less than JPY1M are rounded down.
(*2) As for Facility H, JHR will make a repayment to The Norinchukin Bank. The remaining balance of the loan is scheduled to be JPY4.779B.
3
3. Status of the Interest-Bearing Debts Before and After the New Loans (Schedule)
(JPY 1M)
Category | Before the New Loan | After the New Loan (*2) | Fluctuation |
Short-term loan | 6,800 | 0 | -6,800 |
Long-term loan payable within one year | 15,779 | 10,448 | -5,331 |
Long-term loan | 53,545 | 66,128 | +12,582 |
Total loans | 76,125 | 76,576 | +450 |
Investment corporation bonds | 4,500 | 4,500 | 0 |
Total interest-bearing debts | 80,625 | 81,076 | +450 |
LTV (based on appraisal) | 45.0% | 43.1% | -1.9% |
(*1) Numbers less than JPY1M are rounded down.
(*2) The balance after the contractual repayment of JPY162M scheduled to be made at the end of September 2014.
4. Status of Loans by Financial Institution Before and After the New Loans
Lender | Before the New Loan | After the New Loan | Share | Fluctuation |
Sumitomo Mitsui Banking Corporation | 23,778 | 20,233 | 26.4% | -3,544 |
Shinsei Bank, Limited | 9,018 | 10,323 | 13.5% | +1,304 |
Mizuho Bank, Ltd. | 5,626 | 9,576 | 12.5% | +3,950 |
The Tokyo Star Bank, Limited | 7,448 | 8,206 | 10.7% | +758 |
Resona Bank, Limited | 5,302 | 7,007 | 9.2% | +1,704 |
Sumitomo Mitsui Trust Bank, Limited | 7,210 | 7,006 | 9.1% | -204 |
The Nomura Trust and Banking Co, Ltd. | 3,610 | 4,108 | 5.4% | +497 |
The Norinchukin Bank | 4,634 | 2,365 | 3.1% | -2,269 |
Development Bank of Japan Inc. | 882 | 1,882 | 2.5% | +1,000 |
The Chiba Bank, Ltd. | 1,538 | 1,536 | 2.0% | -2 |
Hiroshima Bank, Ltd. | 992 | 1,492 | 1.9% | +500 |
The Bank of Fukuoka, Ltd. | 490 | 1,490 | 1.9% | +1,000 |
Sompo Japan Nipponkoa Insurance Inc. | 629 | 998 | 1.3% | +369 |
Aozora Bank, Ltd. (new lender) | 0 | 350 | 0.5% | +350 |
MetLife Insurance K.K. | 4,963 | 0 | 0.0% | -4,963 |
Total | 76,125 | 76,576 | 100.0% | +450 |
5. Others
With respect to the new loan, no important change is required for the "Risk in relation to borrowing by loans and investment corporation bonds" in "Investment Risk" in the Securities Report submitted on March 20,
2014 and the Midterm Financial Settlement Report for the FY2014 submitted on September 19, 2014.
*Website of Japan Hotel REIT Investment Corporation: http://www.jhrth.co.jp/http://www.jhrth.co.jp/
4
distributed by |