DALLAS, Oct. 31, 2017 /PRNewswire/ -- Ashford Hospitality
Trust, Inc. (NYSE: AHT) ("Ashford Trust" or the "Company")
announced today that it has successfully refinanced a mortgage loan
with an existing outstanding balance totaling approximately
$413 million. The previous
mortgage loan that was refinanced was the BAML 17 Pool loan with a
final maturity date in December 2021. The new loan totals
$427 million and is expected to
result in annual interest savings of approximately $9.8 million.
The new mortgage loan has a two-year initial term and five
one-year extension options, subject to the satisfaction of certain
conditions. The loan is interest only and provides for a
floating interest rate of LIBOR + 3.00%. The loan is secured
by seventeen hotels: Courtyard Alpharetta, Courtyard
Bloomington, Courtyard Crystal City, Courtyard Foothill Ranch,
Embassy Suites Austin, Embassy Suites Dallas, Embassy Suites
Houston, Embassy Suites Las Vegas, Embassy Suites Palm Beach,
Hampton Inn Evansville, Hilton Garden Inn Jacksonville, Hilton
Nassau Bay, Hilton St. Petersburg, Residence Inn Evansville,
Residence Inn Falls Church, Residence Inn San Diego and Sheraton
Indianapolis.
"The early execution of this refinancing provided us with an
attractive opportunity to address a future maturity as well as
achieve substantial savings in annual interest payments," said
Douglas A. Kessler, Ashford Trust's
President and Chief Executive Officer. "When combined with our
other refinancings and preferred redemptions completed this year,
we expect to realize annual savings of approximately $13.7 million. We believe these proactive
transactions create value for our shareholders. Looking
ahead, our management team remains disciplined and focused on
seeking additional accretive opportunities."
Ashford Hospitality Trust is a real estate investment trust
(REIT) focused on investing opportunistically in the hospitality
industry in upper upscale, full-service hotels.
Ashford has created an Ashford App for the hospitality REIT
investor community. The Ashford App is available for free
download at Apple's App Store and
the Google Play Store by searching "Ashford."
Certain statements and assumptions in this press release
contain or are based upon "forward-looking" information and are
being made pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. These
forward-looking statements are subject to risks and
uncertainties. When we use the words "will likely result,"
"may," "anticipate," "estimate," "should," "expect," "believe,"
"intend," or similar expressions, we intend to identify
forward-looking statements. Such statements are subject to
numerous assumptions and uncertainties, many of which are outside
Ashford Trust's control.
These forward-looking statements are subject to known and
unknown risks and uncertainties, which could cause actual results
to differ materially from those anticipated, including, without
limitation: timing of closing of the transaction and
satisfaction of conditions to closing, general volatility of the
capital markets and the market price of our common stock; changes
in our business or investment strategy; availability, terms and
deployment of capital; availability of qualified personnel; changes
in our industry and the market in which we operate, interest rates
or the general economy; and the degree and nature of our
competition. These and other risk factors are more fully
discussed in Ashford Trust's filings with the Securities and
Exchange Commission.
The forward-looking statements included in this press release
are only made as of the date of this press release. Investors
should not place undue reliance on these forward-looking
statements. We are not obligated to publicly update or revise
any forward-looking statements, whether as a result of new
information, future events or circumstances, changes in
expectations or otherwise.
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SOURCE Ashford Hospitality Trust, Inc.