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| Renaissance Hotel, Nashville, TN |
DALLAS, FL /PRNewswire/ -- Ashford Hospitality Trust, Inc.
(NYSE: AHT) announced that the Company,
along with its joint venture partner, has closed a $112.6 million loan secured
by the Renaissance Hotel in Nashville, Tennessee and the Westin Hotel
in Princeton, New Jersey.
These hotels are part of the Company's Highland Hospitality
Portfolio of which Ashford has a 71.74% ownership interest. Terms described in this press release refer
to 100% of the loan indebtedness unless otherwise indicated.
The new financing, which has a five-year term and bears
interest at a fixed interest rate of 4.44%, replaces two existing loans with a
combined balance of $76.8 million and a weighted average interest rate of
6.05%.
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| Westin Hotel, Princeton, NJ |
At closing, $30
million of the excess loan proceeds were deposited into reserve accounts to be
used predominantly for future capital expenditures and $3.8 million were used
to pay down the mezzanine debt balance on the overall Highland Hospitality
Portfolio.
"This transaction completes the refinancing of the
three CIGNA loans in our Highland Hospitality Portfolio," said Monty J.
Bennett, Chief Executive Officer of Ashford Hospitality Trust.
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| Monty J. Bennett |
"With this financing, and the recently announced
financing on the Hilton Boston Back Bay, we have increased the weighted average
maturity of our debt, lowered our interest expense, paid down more expensive
debt with some of the excess proceeds, and reserved funds for future capital
expenditures.
"We continue to actively
pursue other early refinancing opportunities in our portfolio to capitalize on
the current attractive debt capital markets."
For a complete copy of the company’s news release, please contact:
David Kimichik,
Chief Financial Officer,
+1-972-490-9600
Elise Chittick,
Investor Relations,
+1-972-778-9487
Scott Eckstein,
Financial Relations Board,
+1-212-827-3766
Web Site: http://www.ahtreit.com
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