Hudson Pacific Properties, Inc. (NYSE: HPP), a unique provider of end-to-end real estate solutions for tech and media tenants, today announced the company has closed on an amendment to its unsecured revolving credit facility to refine certain definitions and adjust certain covenant calculations, with key changes including:

• Adjusting the provision allowing the company to temporarily extend its unsecured leverage and total leverage thresholds from 60% to 65% in connection with qualifying acquisitions (so called, “surge provision”);
• Refinement of definitions for assets such as reposition and development projects to improve their treatment under the total leverage and unsecured leverage covenant; and
• Expansion of the type of assets included in the unsecured leverage and unencumbered net operating income (NOI) covenants, including, but not limited to, the company’s studio services businesses.

The table below reflects the company’s compliance with its unsecured revolving credit facility covenants as of September 30, 2023 proforma for the amendment, but excluding the impact of recently announced asset sales, which the company anticipates would also be favorable to these metrics:

In consideration for the enhancements afforded under the amendment, the aggregate commitments from the lenders under the unsecured revolving credit facility were reduced by $100 million, to $900 million of total commitments, with the maturity date remaining December 2026 (including extension options).

“Securing this amendment to our credit facility underscores our strong banking relationships and provides us with the flexibility to continue operating successfully in the current market environment and beyond,” said Harout Diramerian, Chief Financial Officer.

About Hudson Pacific Properties

Hudson Pacific Properties (NYSE: HPP) is a real estate investment trust serving dynamic tech and media tenants in global epicenters for these synergistic, converging and secular growth industries. Hudson Pacific’s unique and high-barrier tech and media focus leverages a full-service, end-to-end value creation platform forged through deep strategic relationships and niche expertise across identifying, acquiring, transforming and developing properties into world-class amenitized, collaborative and sustainable office and studio space. For more information visit HudsonPacificProperties.com.

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