Agree Realty Corp Files 8-K for Material Definitive Agreement

TL;DR

AGREE files 8-K for material agreement, expect financial updates.

AI Summary

On August 8, 2024, Agree Realty Corporation entered into a Material Definitive Agreement related to a direct financial obligation. The filing also includes financial statements and exhibits, indicating significant financial activity for the real estate investment trust.

Why It Matters

This filing signals a significant financial commitment or transaction for Agree Realty Corp, potentially impacting its financial obligations and future operations.

Risk Assessment

Risk Level: medium — Material definitive agreements can introduce new financial obligations or strategic shifts that carry inherent business risks.

Key Players & Entities

• Agree Realty Corporation (company) — Registrant
• August 8, 2024 (date) — Date of earliest event reported
• 32301 Woodward Avenue (location) — Principal executive offices address
• Royal Oak, Michigan (location) — Principal executive offices city and state
• 48073 (location) — Principal executive offices zip code

FAQ

Key Financial Figures

• $0.0001 — Cumulative Redeemable Preferred Stock, $0.0001 par value ADCPrA New York Stock Excha
• $1.25 billion — i) increasing the borrowing capacity to $1.25 billion from $1.0 billion; and (ii) extending t
• $1.0 billion — orrowing capacity to $1.25 billion from $1.0 billion; and (ii) extending the maturity date f
• $2.0 billion — nts to increase the facility size up to $2.0 billion. The Credit Agreement also contains rep

Filing Documents

• tm2421176d1_8k.htm (8-K) — 36KB
• tm2421176d1_ex10-1.htm (EX-10.1) — 807KB
• tm2421176d1_ex10-2.htm (EX-10.2) — 722KB
• 0001104659-24-087258.txt ( ) — 2110KB
• adc-20240808.xsd (EX-101.SCH) — 3KB
• adc-20240808_def.xml (EX-101.DEF) — 26KB
• adc-20240808_lab.xml (EX-101.LAB) — 36KB
• adc-20240808_pre.xml (EX-101.PRE) — 25KB
• tm2421176d1_8k_htm.xml (XML) — 5KB

01

Item 1.01. Entry into a Material Definitive Agreement. Fourth Amended and Restated Revolving Credit Agreement Agree Realty Corporation (the "Company"), as parent guarantor, and Agree Limited Partnership, as borrower (the "Borrower"), entered into that certain Fourth Amended and Restated Revolving Credit Agreement, dated as of August 8, 2024 (the "Credit Agreement"), with PNC Bank, National Association, as Administrative Agent, and a syndicate of lenders named therein, and with certain indirect subsidiaries of the Borrower as guarantors . The Credit Agreement amends and restates that certain Third Amended and Restated Revolving Credit Agreement, dated as of December 15, 2021 (the "Existing Credit Agreement"), by and among the Company, the Borrower, PNC Bank, National Association, as Administrative Agent, and a syndicate of lenders named therein. The Credit Agreement amends certain terms of the Existing Credit Agreement including: (i) increasing the borrowing capacity to $1.25 billion from $1.0 billion; and (ii) extending the maturity date from January 15, 2026 to August 8, 2028. The maturity date of the Credit Agreement remains subject to extensions exercisable at the option of the Company pursuant to the terms of the Credit Agreement. Based on the Company's current credit ratings and leverage ratio, borrowings under the Credit Agreement will bear interest at a rate of SOFR plus a 10-basis points credit spread adjustment plus 72.5 basis points, which was reduced from SOFR plus a 10-basis points credit spread adjustment plus 77.5 basis points under the Existing Credit Agreement. The Credit Agreement contains (a) certain restrictive covenants, including, but not limited to, restrictions on the entry into burdensome agreements, the prohibition of the incurrence of indebtedness secured by liens, the ability to make certain payments and the ability to enter into certain mergers, consolidations, asset sales and affiliate transactions, (b) certain financial maintenan

03

Item 2.03. Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant. The disclosure required by this Item 2.03 is included in Item 1.01 above and is incorporated herein by reference.

Financial Statements and Exhibits

Financial Statements and Exhibits. (d) Exhibits Exhibit Description 10.1* Fourth Amended and Restated Revolving Credit Agreement, dated as of August 8, 2024 by and among Agree Realty Corporation, Agree Limited Partnership, PNC Bank, National Association as Administrative Agent, and a syndicate of lenders named therein. 10.2* First Amendment to Term Loan Agreement, dated as of August 8, 2024 by and among Agree Realty Corporation, Agree Limited Partnership, PNC Bank, National Association, as Administrative Agent, and a syndicate of lenders named therein. 104 Cover Page Interactive Data File (the Cover Page Interactive Data File is embedded within the Inline XBRL document) * Schedules and certain portions of this exhibit have been omitted pursuant to Items 601(a)(5) and 601(a)(6) of Regulation S-K.

SIGNATURES

SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. AGREE REALTY CORPORATION By: /s/ Peter Coughenour Name: Peter Coughenour Title: Chief Financial Officer and Secretary Date: August 8, 2024

View Full Filing

View this 8-K filing on SEC EDGAR