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Fourth graph, first sentence of release should read: ...the Company has $466.4 million in consolidated debt and $200.9 million in unconsolidated, non-recourse debt... (sted ...the Company has $466.4 million in consolidated debt and $267.9 million in unconsolidated, non-recourse debt...).
The corrected release reads:
PEBBLEBROOK HOTEL TRUST AND DENIHAN HOSPITALITY GROUP COMPLETE $410.0 MILLION, 3.67 PERCENT, SECURED DEBT FINANCING
Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) today announced that the joint venture between Pebblebrook Hotel Trust and Denihan Hospitality Group, which owns six upper upscale hotels (the “Manhattan Collection”) in New York, New York, has successfully executed a new $410.0 million interest-only, non-recourse, secured loan at a fixed annual interest rate of 3.67 percent. The loan has a term of five years and is secured by a first mortgage on the Affinia Manhattan, Affinia Shelburne, Affinia 50, Affinia Gardens and The Benjamin, comprising a total of 1,491 guest rooms. Proceeds from the loan will be used to fully pay off the existing mortgage on the Manhattan Collection and for general business purposes.
“We are thrilled with the completion of this debt financing and our ability to access the debt markets at historically attractive terms,” said Raymond D. Martz, Chief Financial Officer for Pebblebrook Hotel Trust. “Our new debt financing has more favorable terms, a comparable interest rate and significantly lower risk than the previous outstanding loan. As a result of this financing, Pebblebrook has no debt maturities until 2016 and we continue to have 12 hotels unencumbered by debt, representing nearly $1.0 billion of invested assets.”
In addition to the successful refinancing of the Manhattan Collection debt, Pebblebrook has provided $50 million of preferred capital to the joint venture between Pebblebrook Hotel Trust (49 percent interest) and Denihan Hospitality Group (51 percent interest). This preferred capital has a five and a half year term, an annual coupon rate of 9.75 percent and is prepayable at any time by the joint venture.