Item 1.01 Entry into a Material Definitive Agreement.
In connection with the issuance and sale byAmerican Campus Communities Operating Partnership LP (the "Operating Partnership") of$400 million aggregate principal amounts of its 2.850% Senior Notes due 2030 (the "2030 Notes"), onJanuary 15, 2020 , theOperating Partnership ,American Campus Communities, Inc. (the "Company") andAmerican Campus Communities Holdings LLC , a wholly-owned subsidiary of the Company and the general partner of theOperating Partnership , on one hand, andU.S. Bancorp Investments, Inc. andWells Fargo Securities, LLC , as representatives of the several underwriters named therein (collectively, the "Underwriters"), on the other hand, entered into an underwriting agreement. The 2030 Notes will be will be fully and unconditionally guaranteed by the Company. The offering of the 2030 Notes is described in the Company's and theOperating Partnership's Prospectus Supplement datedJanuary 15, 2020 to the Prospectus datedMay 15, 2018 . The 2030 Notes were issued pursuant to the Company's and theOperating Partnership's existing shelf registration statement. After deducting underwriting discounts and other offering expenses, the net proceeds from the sale of the 2030 Notes will be approximately$394.3 million .The Operating Partnership intends to use the net proceeds, together with cash on hand or borrowings under its revolving credit facility, to fund the early redemption of all of the$400 million aggregate principal amount of its 3.350% Senior Notes due 2020 (the "2020 Notes"), which includes a make-whole premium and accrued and unpaid interest to the date of redemption. Settlement is scheduled forJanuary 30, 2020 , subject to the satisfaction of customary closing conditions.U.S. Bank National Association , an affiliate ofU.S. Bancorp Investments, Inc. , one of the Underwriters, is serving as the trustee under the indenture under which the 2030 Notes will be issued. To the extent any of the Underwriters or their affiliates own any of the 2020 Notes, upon the application of the net proceeds from the offering of the 2030 Notes to fund the redemption of the 2020 Notes, such Underwriters or affiliates will receive a portion of those net proceeds. The Underwriters and certain of their affiliates have engaged in, and may in the future engage in, investment banking and other commercial dealings in the ordinary course of business with the Company and its affiliates. They have received or will continue to receive customary fees and commissions for these transactions. The description herein of the Underwriting Agreement is qualified in its entirety, and the terms therein are incorporated herein, by reference to the Underwriting Agreement filed as Exhibit 1.1 hereto. Item 8.01 Other Events. OnJanuary 15, 2020 , notice was provided to the holders of the 2020 Notes of a redemption of such notes onJanuary 31, 2020 . In connection with such redemption, the Company expects to record a one-time charge of approximately$4.3 million , or approximately$0.03 per share, to its net income in the first quarter of 2020.
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Item 9.01 Financial Statements and Exhibits.
(d) Exhibits . Exhibit Number Title 1.1 Underwriting Agreement, datedJanuary 15, 2020 , betweenAmerican Campus Communities, Inc. ,American Campus Communities Operating Partnership LP andAmerican Campus Communities Holdings, LLC , on one hand, andU.S. Bancorp Investments, Inc. andWells Fargo Securities, LLC , as representatives of the several underwriters named therein, on the other hand. 104 Cover page interactive data file (embedded within the Inline XBRL document). 2
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