AUSTIN,
Texas, Sept. 20, 2023 /PRNewswire/ -- Summit
Hotel Properties, Inc. (NYSE: INN) (the "Company") today announced
that its joint venture with GIC, Singapore's sovereign wealth fund, has
successfully completed the refinancing of its $200 million senior credit facility (the "Credit
Facility"), which is comprised of a $125
million revolving credit facility (the "$125 Million Revolver") and a $75 million term loan (the "$75 Million Term Loan").
"We greatly appreciate the continued support from our lending
partners and are extremely pleased with this credit facility
refinancing for the joint venture. The transaction eliminates all
of the Company's material debt maturities through 2024 and
maintains attractive pricing, further strengthening our
well-positioned balance sheet," commented Trey Conkling, the Company's Executive Vice
President and Chief Financial Officer.
The new credit agreement provides for a fully extended maturity
date of September 2028 for both the
Revolver and Term Loan. The interest rate pricing from the prior
credit facility has been maintained at SOFR+215 basis points
for the $125 Million Revolver and
SOFR+210 basis points for the $75
Million Term Loan. Other terms of the agreement are similar
to the joint venture's previous credit facility agreement.
As a result of this refinancing, the Company has no material
debt maturities through 2024 and its average length to maturity is
over three years, including extension options. Approximately 80% of
the Company's pro rata debt and preferred equity capital has a
fixed interest rate after giving effect to interest rate derivative
agreements.
Serving as sole lead arranger and sole bookrunner on the
transaction is BofA Securities, Inc. Capital One, National
Association and Wells Fargo Securities, LLC serve as
Co-Documentation Agents. JPMorgan Chase Bank, N.A. is a
participating lender. Bank of America, N.A., serves as the
Administrative Agent.
About Summit Hotel Properties
Summit Hotel Properties, Inc. is a publicly-traded real estate
investment trust focused on owning premium-branded lodging
properties with efficient operating models primarily in the Upscale
segment of the lodging industry. As of September 19, 2023, the Company's portfolio
consisted of 101 assets, 57 of which are wholly owned, with a total
of 15,035 guestrooms located in 24 states.
For additional information, please visit the Company's website,
www.shpreit.com, and follow the Company on Twitter at
@SummitHotel_INN.
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 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.
These forward-looking statements relate to the payment of
dividends. 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. 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, including, without limitation, the Company's Annual
Report on Form 10-K for the year ended December 31, 2022. 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.
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SOURCE SUMMIT HOTEL PROPERTIES, INC.
