DALLAS, Feb. 12,
2025 /PRNewswire/ -- February
12, 2025 – Ashford Hospitality Trust, Inc. (NYSE: AHT)
("Ashford Trust" or the "Company") announced today that it has
closed on a $580 million refinancing
secured by 16 hotels. The financing includes the hotels that were
previously part of the Company's KEYS Pool C Loan, KEYS Pool D
Loan, KEYS Pool E Loan, and the BAML Pool 3 Loan, together with the
Westin Princeton. The previous loans had a combined
outstanding loan balance of approximately $438.7 million. The new financing is
non-recourse, has a two-year term with three one-year extension
options, subject to the satisfaction of certain conditions, and
bears interest at a floating interest rate of SOFR + 4.37%. The
Company used approximately $72
million of the excess proceeds to completely pay off the
remaining balance on its strategic financing, including the exit
fee. The remaining excess proceeds were used to fund transaction
costs and reserves for future capital expenditures.
"We are extremely pleased to announce the refinancing of these
loan pools on attractive terms," commented Stephen Zsigray, Ashford Trust's President and
Chief Executive Officer. "The successful refinancing of these 16
hotels not only generated enough excess proceeds to fully pay off
our strategic financing, but we were also able to set aside
significant reserves for future capital expenditures at these
hotels. With the closing of this refinancing along with the full
pay off of our strategic financing, we've addressed several pending
loan maturities and eliminated all corporate-level debt."
Ashford Hospitality Trust is a real estate investment trust
(REIT) focused on investing predominantly in upper upscale,
full-service hotels.
Forward-Looking Statements
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 federal
securities regulations. Forward-looking statements are generally
identifiable by use of forward-looking terminology such as "may,"
"will," "should," "potential," "intend," "expect," "anticipate,"
"estimate," "approximately," "believe," "could," "project,"
"predict," or other similar words or expressions. Additionally,
statements regarding the following subjects are forward-looking by
their nature: Our business and investment strategy; anticipated or
expected purchases, sales or dispositions of assets; our projected
operating results; completion of any pending transactions; our
ability to restructure existing property-level indebtedness; our
ability to secure additional financing to enable us to operate our
business; our understanding of our competition; projected capital
expenditures; and the impact of technology on our operations and
business.. Such forward-looking statements are based on our
beliefs, assumptions, and expectations of our future performance
taking into account all information currently known to us. These
beliefs, assumptions, and expectations can change as a result of
many potential events or factors, not all of which are known to us.
If a change occurs, our business, financial condition, liquidity,
results of operations, plans, and other objectives may vary
materially from those expressed in our forward-looking statements.
You should carefully consider this risk when you make an investment
decision concerning our securities. These and other risk factors
are more fully discussed in the Company's filings with the
SEC.
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 will not publicly update or revise any
forward-looking statements, whether as a result of new information,
future events or circumstances, changes in expectations or
otherwise except to the extent required by law.
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SOURCE Ashford Hospitality Trust, Inc.
