TOLEDO, OH - Health Care REIT Inc. closed a $2.75 billion unsecured credit facility replacing its existing $2 billion unsecured revolving credit facility.

The company intends to use proceeds to fund investment activity and for general corporate purposes, including investing in health care and senior housing properties. The new facility contains an accordion feature that would let the firm to upsize it by up to $1 billion, allowing for aggregate commitments of up to $3.75 billion. The company would also be able to borrow up to $500 million in alternate currencies. It consists of a $2.25 billion revolver and a $500 million term loan to be funded. The revolver matures on March 31, 2017, and can be extended for an additional year at the company's option. The term loan matures on March 31, 2016, and can be extended for up to two years. Based on the firm's current credit ratings, the revolver bears interest at LIBOR plus 117.5 basis points and has an annual facility fee of 22.5 basis points. The term loan bears interest at LIBOR plus 135 basis points. “We continue to benefit from a favorable borrowing environment and the support of our bank group," George L. Chapman, Health Care REIT's Chairman and Chief Executive Officer, says in a release. "The improved terms and additional capacity of this credit facility provide Health Care REIT with an efficient capital source to support its accretive investment program.” The credit facility was arranged by Merrill Lynch, Pierce, Fenner & Smith Inc. and J.P. Morgan Securities LLC as joint bookrunners and joint lead arrangers. Bank of America N.A. and JPMorgan Chase Bank N.A. were co-syndication agents. KeyBanc Capital Markets Inc. was a joint lead arranger and KeyBank N.A. was administrative agent. Deutsche Bank Securities Inc. served as a joint lead arranger and documentation agent. Health Care REIT is an S&P 500 company which invests in senior housing and health care real estate and provides property management and development services.