v3.25.2
Homebuilding Senior Notes and Other Debts Payable
 6 Months Ended
May 31, 2025
Debt Disclosure [Abstract]  
Homebuilding Senior Notes and Other Debts Payable Homebuilding Senior Notes and Other Debt Payable
(Dollars in thousands)At May 31, 2025At November 30, 2024
Unsecured revolving credit facility$400,000 — 
5.25% senior notes due 2026
401,216 401,824 
5.00% senior notes due 2027
350,782 350,974 
4.75% senior notes due 2027
698,555 698,266 
5.20% senior notes due 2030
693,540 — 
4.75% senior notes due 2025
— 499,779 
Mortgage notes on land and other debt247,894 307,440 
$2,791,987 2,258,283 
The carrying amounts of the senior notes in the table above are net of debt issuance costs of $8.0 million and $2.4 million as of May 31, 2025 and November 30, 2024, respectively.
In May 2025, the Company issued $700 million in aggregate principal amount of 5.20% senior notes due 2030 (the "5.20% senior notes") at a price of 99.969% of the principal amount. Proceeds from the offering, after payment of expenses, totaled $695.6 million. The 5.20% Senior Notes are unsecured and unsubordinated, but are guaranteed by substantially all of the Company's 100% owned homebuilding subsidiaries. Interest on the 5.20% Senior Notes is due semi-annually beginning January 30, 2026.
The Company utilized the net proceeds from the sale of the 5.20% senior notes primarily to pay off $500 million aggregate principal amount of its 4.75% senior notes due May 2025. The redemption price, which was paid in cash, was 100% of the principal amount outstanding.
In May 2025, the Company also entered into a new unsecured delayed draw term loan facility with an initial committed borrowing availability of approximately $1.6 billion (the “Delayed Draw Term Loan Facility”), which can be increased by an additional $500 million via an accordion feature. The credit agreement governing the Company’s new unsecured Delayed Draw Term Loan Facility permits the Company to draw up to six times in the first 180 days after the effective date of the credit agreement or May 2028. Once drawn, the Company may at any time prepay the loan, in whole or in part, without premium or penalty. The term loan’s maturity date is three years from the initial effectiveness date of the credit agreement, and at the Company’s discretion, it can be extended for an additional year, subject to the satisfaction of certain conditions. Under the Delayed Draw Term Loan Facility, interest rates equal the adjusted term SOFR determined for the interest period plus the applicable margin. As of May 31, 2025, there were no borrowings under the credit agreement governing the Delayed Draw Term Loan Facility.
In November 2024, the Company amended and restated the credit agreement governing its unsecured revolving credit facility (the "Credit Facility"). In the first quarter of 2025, the Company received an additional $150 million in commitments. The maximum available borrowings on the Credit Facility were as follows:
(In thousands)At May 31, 2025
Commitments - maturing in May 2027$225,000 
Commitments - maturing in November 20292,800,000 
Total commitments$3,025,000 
Accordion feature475,000 
Total maximum borrowings capacity$3,500,000 
The proceeds available under the Credit Facility, which are subject to specified conditions for borrowing, may be used for working capital and general corporate purposes. The credit agreement also provides that up to $477.5 million in commitments may be used for letters of credit. The maturity, debt covenants and details of the Credit Facility are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2024 Form 10-K for the year ended November 30, 2024. In addition to the Credit Facility, the Company has other letter of credit facilities with different financial institutions.
The Company's processes for posting performance and financial letters of credit and surety bonds are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2024 Form 10-K. The Company's outstanding letters of credit and surety bonds are disclosed below:
(In thousands)At May 31, 2025At November 30, 2024
Performance letters of credit$1,843,332 1,668,061 
Financial letters of credit909,960 745,578 
Surety bonds5,453,277 5,140,432 
Anticipated future costs primarily for site improvements related to performance surety bonds3,025,462 2,766,088 
All of the senior notes are guaranteed by certain of the Company's 100% owned subsidiaries, which are primarily homebuilding subsidiaries. The guarantees are full and unconditional. Other than as set forth in the Supplemental Financial Information, the terms of guarantees are unchanged from the disclosure in the Company's Financial Condition and Capital Resources section in its 2024 Form 10-K.