AUSTIN, Texas, Nov. 27, 2017 /PRNewswire/ -- Summit Hotel
Properties, Inc. (NYSE: INN) (the "Company") today announced that
it has completed the acquisition of four hotels with a combined
total of 652 guestrooms for an aggregate purchase price of
$164 million, or approximately
$252,000 per key. The portfolio
includes the 207-guestroom Courtyard New Haven at Yale, the 148-guestroom Hilton Garden Inn
Boston/Waltham, the 175-guestroom
Residence Inn Cleveland Downtown, and the 122-guestroom Homewood
Suites by Hilton Tucson/St. Philip's Plaza University. The
agreements to acquire the portfolio were previously announced on
November 13, 2017.
Adjacent to Yale University in a
prime location, the Courtyard New Haven at Yale is a unique opportunity to acquire the only
Marriott-branded hotel within nearly ten miles of downtown New
Haven. After undergoing a comprehensive renovation of all
public spaces and guestrooms in 2016 and with the city of New
Haven's strict zoning and design requirements, the Company expects
the hotel to benefit from very limited new supply and continue to
be a market leader. Other demand generators and local
attractions include the Yale-New Haven Hospital, Smilow Cancer
Center, Yale Peabody Museum, Lighthouse Point Park, and the Knights
of Columbus Museum.
The Hilton Garden Inn Boston/Waltham is centrally located along the Route
128/Interstate 95 corridor, also known as "America's Technology
Highway." Known for its high barriers to entry and strong
fundamentals, Boston is a dynamic
gateway market with a diverse and stable demand base, and is a
premier destination for international meetings and
conventions. The hotel benefits from exceptional corporate
demand with 16.4 million square feet of office space situated
within three miles of the property and another one million square
feet under construction. The Company anticipates investing
approximately $4.0 to $5.0 million
into a complete renovation of all public spaces and guestrooms over
the next two years.
Located in the heart of Cleveland's central business district ("CBD"),
the recently-renovated Residence Inn Cleveland Downtown is
well-positioned within the CBD's 9.5 million square feet of Class A
office space, which includes the headquarters of Fortune 500
companies Sherwin-Williams, KeyCorp, and Cliffs Natural
Resources. In recent years, Cleveland has become a global leader in the
healthcare, biomedical engineering, and technology
industries. Leisure demand generators such as Progressive
Field, Quicken Loans Arena, Horseshoe Casino Cleveland, and the
nightlife of 4th Street are all located just a short
walk away.
The Homewood Suites by Hilton Tucson/St. Philip's Plaza
University is located in St. Philip's Plaza near the University of
Arizona. The hotel's premier location benefits from a
balanced mix of corporate, university, and leisure demand.
Corporate demand generators include Raytheon Missile Systems, Texas
Instruments, IBM, Intuit Inc., and Universal Avionics, among many
others. Other demand generators include the University of Arizona, one of the largest
universities in the nation with over 40,000 students and 3,000
faculty members, St. Philip's Plaza, a mixed-use development
consisting of high-end dining and retail, the University of Arizona Medical Center, the
University of Arizona Cancer Center,
and Catalina Foothill tourism.
About Summit Hotel Properties
Summit Hotel Properties, Inc. is a publicly traded real estate
investment trust focused on owning premium-branded hotels with
efficient operating models primarily in the Upscale segment of the
lodging industry. As of November 27,
2017, the Company's portfolio consists of 83 hotels located
in 26 states with a total of 12,242 guestrooms.
For additional information, please visit the Company's website,
www.shpreit.com and follow the Company on Twitter at
@SummitHotel_INN.
Contact:
Adam Wudel
Summit Hotel Properties, Inc.
SVP – Finance & Capital Markets
(512) 538-2325
Forward Looking Statements
This press release
contains statements that are "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, pursuant to the safe harbor provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking
statements are generally identifiable by use of forward-looking
terminology such as "may," "will," "should," "potential," "intend,"
"expect," "seek," "anticipate," "estimate," "approximately,"
"believe," "could," "project," "predict," "forecast," "continue,"
"plan," "likely," "would," or other similar words or expressions.
Forward-looking statements are based on certain assumptions and can
include future expectations, future plans and strategies, financial
and operating projections or other forward-looking information.
Examples of forward-looking statements include the following: the
Company's ability to realize embedded growth from the deployment of
renovation capital, capital expenditures or other financial items;
descriptions of the Company's plans or objectives for future
operations and descriptions of assumptions underlying or relating
to any of the foregoing expectations regarding the timing of their
occurrence. These forward-looking statements are subject to various
risks and uncertainties, not all of which are known to the Company
and many of which are beyond the Company's control, which could
cause actual results to differ materially from such statements.
These risks and uncertainties include, but are not limited to, the
state of the U.S. economy, supply and demand in the hotel industry
and other factors as are described in greater detail in the
Company's filings with the Securities and Exchange Commission
("SEC"). Unless legally required, the Company disclaims any
obligation to update any forward-looking statements, whether as a
result of new information, future events or otherwise.
For information about the Company's business and financial
results, please refer to the "Management's Discussion and Analysis
of Financial Condition and Results of Operations" and "Risk
Factors" sections of the Company's Annual Report on Form 10-K for
the year ended December 31, 2016,
filed with the SEC, and its quarterly and other periodic filings
with the SEC. The Company undertakes no duty to update the
statements in this release to conform the statements to actual
results or changes in the Company's expectations.
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SOURCE Summit Hotel Properties, Inc.