Plano-based Green Brick Partners announced that Flagstar Bank has agreed to join its line of credit facility with a $20 million funding commitment. Citibank, N.A. serves as administrative agent for the revolving credit facility and also participates as a lender.
Green Brick says the addition of Flagstar Bank increases the aggregate commitment on the line of credit to $60 million. The facility is unsecured with a rate tied to 30-day LIBOR, which yields a current pay rate of approximately 3%.
Green Brick received approvals from Citibank and Credit Suisse, both lenders to the credit facility, to expand the maximum amount of the credit facility. The accordion feature of the facility allows the company to expand the line of credit from its current maximum size of $75 million to the new approved limit of $110 million. With this agreement, the Company can obtain commitments for another $50 million, as needed, that would bring the aggregate lender commitments to $110 million.