Phillips Edison–ARC Shopping Center REIT entered into a $40 million senior secured revolving credit facility with KeyBank National Association with an accordion feature up to $250 million, subject to the terms and conditions of the facility. This credit facility may be used in conjunction with the existing $10 million unsecured line of credit the company closed with KeyBank in July 2012.

The credit facility matures on December 24, 2015, with two 12-month extension options which, if exercised, would extend the maturity until December 2017. This facility will enable the Company to select loans that are priced at either LIBOR plus a margin ranging from 200 to 300 basis points depending on the company’s overall leverage, or a base rate of the greater of (x) the prime rate announced by KeyBank from time to time or (y) the federal funds effective rate, plus a margin ranging from 100 to 200 basis points depending on the company’s overall leverage.

The company will use the credit facility to finance the acquisition of well-occupied grocery-anchored neighborhood shopping centers having a mix of national, credit worthy retailers selling necessity-based goods and services in strong demographics markets throughout the United States. As of December 24, 2012, there are no borrowings outstanding under the credit facility.

Phillips Edison-ARC Shopping Center REIT Inc. is a public non-traded REIT that seeks to acquire and manage well-occupied grocery-anchored neighborhood shopping centers having a mix of national and regional retailers selling necessity-based goods and services, in strong demographic markets throughout the United States.