Cousins Properties Announces Pricing of Senior Notes Offering

Rhea-AI Summary

Cousins Properties (NYSE: CUZ) has announced the pricing of a $500 million senior unsecured notes offering through its operating partnership. The notes, due 2030, are priced at 99.987% of principal with a 5.250% interest rate. The offering is expected to close on June 6, 2025.

The company plans to use the proceeds to repay its existing privately placed senior notes due 2025, with the remainder allocated to repay credit facility borrowings and general corporate purposes. The notes will be fully guaranteed by Cousins Properties. The offering is being managed by a group of financial institutions including Wells Fargo Securities, BofA Securities, and TD Securities among others.

Positive

• Successful pricing of $500 million senior notes offering demonstrates market confidence
• Strategic refinancing of existing debt due in 2025
• Diversification of funding sources through multiple major financial institutions

Negative

• New debt carries a relatively high 5.250% interest rate
• Additional long-term debt obligation through 2030

News Market Reaction – CUZ

+1.87%

1 alert

+1.87% News Effect

On the day this news was published, CUZ gained 1.87%, reflecting a mild positive market reaction.

Data tracked by StockTitan Argus on the day of publication.

ATLANTA, May 28, 2025 /PRNewswire/ -- Cousins Properties Incorporated (the "Company" or "Cousins") (NYSE: CUZ) announced today that its operating partnership, Cousins Properties LP (the "Operating Partnership"), has priced an offering of $500 million aggregate principal amount of 5.250% senior unsecured notes due 2030 at 99.987% of the principal amount. The offering is expected to close on June 6, 2025, subject to the satisfaction of customary closing conditions.

Cousins intends to use the net proceeds from the offering to repay the outstanding principal amount of its privately placed senior notes due 2025 and the remainder to repay borrowings under its credit facility and for general corporate purposes.

The notes will be fully and unconditionally guaranteed on a senior unsecured basis by the Company.

Wells Fargo Securities, BofA Securities, TD Securities, J.P. Morgan, Morgan Stanley, PNC Capital Markets LLC, Truist Securities and US Bancorp are acting as joint book-running managers.

A shelf registration statement relating to these securities is effective with the Securities and Exchange Commission. The offering may be made only by means of a prospectus supplement and accompanying prospectus. Copies of these documents may be obtained by contacting Wells Fargo Securities, LLC, 608 2nd Avenue South, Suite 1000, Minneapolis, MN 55402, Attention: WFS Customer Service or by calling toll free at 1-800-645-3751 or by emailing: wfscustomerservice@wellsfargo.com; BofA Securities, Inc., NC1-022-02-25, 201 North Tryon Street, Charlotte, NC 28255-0001, Attention: Prospectus Department, telephone: 1-800-294-1322, or email: dg.prospectus_requests@bofa.com; or TD Securities (USA) LLC toll free at 1-855-495-9846. Electronic copies of these documents are also available from the Securities and Exchange Commission's website at www.sec.gov.

This press release is neither an offer to purchase nor a solicitation of an offer to sell the notes, nor shall it constitute an offer, solicitation or sale in any state or jurisdiction in which such offer, solicitation or sale is unlawful prior to the registration or qualification under the securities laws of any such state or other jurisdiction.

About Cousins Properties

Cousins Properties is a fully integrated, self-administered, and self-managed real estate investment trust ("REIT"). The Company, based in Atlanta, GA and acting through the Operating Partnership, primarily invests in Class A office buildings located in high growth Sun Belt markets. Founded in 1958, Cousins creates shareholder value through its extensive expertise in the development, acquisition, leasing, and management of high-quality real estate assets. The Company has a comprehensive strategy in place based on a simple platform, trophy assets, and opportunistic investments.

Forward-Looking Statements

Certain matters contained in this press release are "forward-looking statements" within the meaning of the federal securities laws and are subject to uncertainties and risks, as itemized in Item 1A included in the Company's Annual Report on Form 10-K for the year ended December 31, 2024 and in the Company's Quarterly Report on Form 10-Q for the quarter ended March 31, 2025.

These forward-looking statements include information about the Company's possible or assumed future results of the business and the Company's financial condition, liquidity, results of operations, plans, and objectives. They also include, among other things, statements regarding subjects that are forward-looking by their nature, such as: business and financial strategy; objectives of management; future debt financings; future acquisitions and dispositions of operating assets, joint venture interests, and land; future acquisitions and dispositions of investments in real estate debt; future development and redevelopment opportunities; future issuances of common stock, limited partnership units, or preferred stock; future distributions; projected capital expenditures; market and industry trends; future occupancy or volume and velocity of leasing activity; entry into new markets or changes in existing market concentrations; future changes in interest rates and liquidity of capital markets; and all statements that address operating performance, events, investments, or developments that we expect or anticipate will occur in the future.

Any forward-looking statements are based upon management's beliefs, assumptions, and expectations of our future performance, taking into account information that is currently available. These beliefs, assumptions, and expectations may change as a result of possible events or factors, not all of which are known. If a change occurs, our business, financial condition, liquidity, and results of operations may vary materially from those expressed in forward-looking statements. Actual results may vary from forward-looking statements due to, but not limited to, the following: the risks and uncertainties related to the impact of changes in general economic and capital market conditions (on an international or national basis or within the markets in which we operate), including changes in inflation, changes in interest rates, supply chain disruptions, labor market disruptions (including changes in unemployment), dislocation and volatility in capital markets, and potential longer-term changes in consumer and customer behavior resulting from the severity and duration of any downturn, adverse conditions or uncertainty in the U.S. or global economy; risks affecting the real estate industry (including, without limitation, the inability to enter into or renew leases on favorable terms (and on anticipated schedules)); any adverse change in the financial condition or liquidity of one or more of our tenants or borrowers under our real estate debt investments; changes in customer preferences regarding space utilization; changes in customers' financial condition; the availability, cost, and adequacy of insurance coverage; competition from other developers, investors, owners, and operators of real estate; the failure to achieve anticipated benefits from intended or completed acquisitions, developments, investments, or dispositions; the cost and availability of financing, the effectiveness of any interest rate hedging contracts, and any failure to comply with debt covenants under credit agreements; the effect of common stock, debt, or operating partnership unit issuances; threatened terrorist attacks or sociopolitical unrest such as political instability, civil unrest, armed hostilities, or political activism and the potential impact of the same upon our day-to-day building operations; the immediate and long-term impact of the outbreak of a highly infectious or contagious disease on our and our customers' financial condition; risks associated with security breaches through cyberattacks, cyber intrusions, or otherwise; changes in senior management, the board of directors, or key personnel; the potential liability for existing or future environmental or other applicable regulatory requirements, including the requirements to qualify for taxation as a real estate investment trust; the financial condition and liquidity of, or disputes with, joint venture partners; material changes in dividend rates on common shares or other securities or the ability to pay those dividends; the impact of changes to applicable laws, including the tax laws impacting REITs, and the impact of newly adopted accounting principles on our accounting policies and on period to period comparison of financial results; risks associated with climate change and severe weather events; and those additional risks and factors discussed in reports filed with the Securities and Exchange Commission by the Company.

Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release. The Company cannot guarantee the accuracy of any such forward-looking statements contained in this press release, and the Company does not intend to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

Contacts

Roni Imbeaux
Vice President, Finance and Investor Relations
404-407-1104
rimbeaux@cousins.com

View original content:https://www.prnewswire.com/news-releases/cousins-properties-announces-pricing-of-senior-notes-offering-302467602.html

SOURCE Cousins Properties

FAQ

What is the size and interest rate of Cousins Properties' (CUZ) new senior notes offering?

Cousins Properties' new senior notes offering is $500 million with a 5.250% interest rate, due in 2030.

When will Cousins Properties' (CUZ) new notes offering close?

The notes offering is expected to close on June 6, 2025, subject to customary closing conditions.

How will Cousins Properties (CUZ) use the proceeds from the senior notes offering?

The proceeds will be used to repay existing privately placed senior notes due 2025, repay credit facility borrowings, and for general corporate purposes.

Which banks are managing Cousins Properties' (CUZ) senior notes offering?

The joint book-running managers include Wells Fargo Securities, BofA Securities, TD Securities, J.P. Morgan, Morgan Stanley, PNC Capital Markets LLC, Truist Securities and US Bancorp.