Braemar Hotels & Resorts Inc. announced that it has entered into a new $200 million corporate financing. The financing has an initial three-year term and includes a senior secured term loan facility in an initial principal amount of $150 million and a senior secured revolving credit facility in an initial principal amount of $50 million. The financing includes the opportunity to expand the borrowing capacity up to an aggregate size of $400 million, and there is a one-year extension option subject to the satisfaction of certain conditions.

The financing is fully prepayable without penalty, and the interest rate is based upon a pricing grid related to the Company's Net Debt to EBITDA that provides for a range of SOFR + 2.35% to 3.10%. The Company anticipates that the initial interest rate will be SOFR + 2.85%. Bank of America, N.A. acted as administrative agent and lead arranger on the transaction.

Syndicate bank participants include TBK Bank and MidFirst Bank. The use of proceeds for the financing was to repay the mortgage debt associated with the Ritz-Carlton Sarasota, the Bardessono Hotel and Spa, and the Hotel Yountville, which will serve as the borrowing base for the financing.