31 December 2013
Sotherly Hotels Inc. (NASDAQ: SOHO) reported it has refinanced the USD57.0m Crowne Plaza Hollywood Beach Resort in Hollywood Beach, Florida, instrument.
The company has a 25.0 percent interest in the Hotel through a joint venture with the Carlyle Group. The bank of America Merrill Lynch loan is collateralized by an interest-only non-recourse first mortgage on the Hotel which bears a floating interest rate of the one-month LIBOR rate plus 3.95% and matures in January 2016. The proceeds from the loan were used to repay the existing first mortgage and to make distributions to the joint venture partners. The company used approximately USD3.5m of its share of the distribution proceeds to extinguish its indebtedness related to the joint venture.
Sotherly Hotels Inc., formerly MHI Hospitality Corp., is a self-managed and self-administered lodging REIT focused on the acquisition, renovation, upbranding and repositioning of upscale and upper upscale full-service hotels in the Southern United States. For more information, visit www.sotherlyhotels.com.