Summit Hotel Properties, Inc. Completes $600 Million Credit Facility Refinancing
June 22, 2023 at 06:30 am EDT
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Summit Hotel Properties, Inc. announced that it has successfully completed the refinancing of its $600 million senior unsecured credit facility (the Credit Facility), which is comprised of a $400 million senior unsecured revolving credit facility (the Revolver) and $200 million senior unsecured term loan (the Term Loan). The amended and restated credit agreement provides for a maturity date of June 2028 for both the Revolver and Term Loan, including extension options. The pricing grid from the prior credit facility has been maintained at a range of 140 to 240 basis points for the Revolver and 135 to 235 basis points for the Term Loan, each over the applicable adjusted Term SOFR rate.
Other terms of the agreement are similar to the Company's previous credit facility agreement. As a result of this refinancing, the Company's average length to maturity has been increased to over three years, including extension options, with no more than 25% of the Company's pro rata outstanding debt maturing in any single year. Additionally, the Company currently has nearly $450 million of pro rata total liquidity and continues to maintain approximately 80% pro rata fixed interest rate debt and preferred equity capital after giving effect to interest rate derivative agreements.
Summit Hotel Properties, Inc. is a real estate investment trust. The Company is focused on owning premium-branded lodging properties with operating models primarily in the upscale segment of the lodging industry. Its portfolio consists of approximately 99 assets, 56 of which are wholly owned, with a total of 14,785 guestrooms located in 24 states. Its properties are located in markets with multiple demand generators, such as corporate offices and headquarters, retail centers, airports, state capitols, convention centers, universities, and leisure attractions. Its guestrooms operate under franchise brands owned by Marriott International, Inc. (Marriott), Hilton Worldwide (Hilton), Hyatt Hotels Corporation (Hyatt), and InterContinental Hotels Group (IHG). It holds both general and limited partnership interests in Summit Hotel OP, LP (the Operating Partnership). Substantially, all of its assets are held by, and all of its operations are conducted through, the Operating Partnership.
SUMMIT HOTEL PROPERTIES, INC. 
