Group 1 Automotive, Inc. disclosed on September 23, 2026, that its subsidiary, Group 1 Realty, Inc., entered into a new credit agreement with Bank of America, N.A. The agreement establishes a term loan with a maximum principal amount of $190,336,250. This amount is calculated as 85% of the appraised value of all mortgaged properties owned by the Borrower.
The loan is evidenced by a Term Note with a Draw Period and matures on September 23, 2033. Interest on the term loan accrues at a rate of Term SOFR plus 145 basis points. The obligation is secured by mortgages on the Borrower's properties and those of certain subsidiaries, as well as security interests on fixtures and improvements related to the properties.
The Company and the Guarantors have guaranteed the obligations under the Credit Agreement. The agreement includes covenants that restrict the Borrower and Guarantors from incurring additional indebtedness, creating liens, disposing of assets, entering into restrictive agreements, making loans outside of ordinary business, or engaging in mergers. Events of Default include non-payment of obligations and cross-defaults to the Company's other material indebtedness, which could require immediate repayment of the outstanding amount.
