The loan has been refinanced with a new $70 million non-recourse mortgage loan that has a two-year initial term and three, one-year extension options.
DALLAS – Ashford Hospitality Prime, Inc. announced that it has successfully refinanced its mortgage loan for the 142-room Pier House Resort & Spa in Key West, Florida, which had an existing outstanding balance of approximately $69 million.
The loan has been refinanced with a new $70 million non-recourse mortgage loan that has a two-year initial term and three, one-year extension options, subject to the satisfaction of certain conditions. The new loan is interest only and provides for a floating interest rate of LIBOR + 2.25%, with no LIBOR floor.
“We are excited to complete the refinancing of the Pier House Resort. The quality and strong performance of this asset brought considerable lender interest which enabled us to refinance the property on very favorable terms,” said Monty J. Bennett, Ashford Prime’s Chairman and Chief Executive Officer. “This financing allowed us to materially reduce our interest expense while also extending the maturity of this loan.”
Ashford Hospitality Prime is a conservatively capitalized real estate investment trust (REIT) focused on investing in high RevPAR full-service and urban select-service hotels and resorts located predominantly in domestic and international gateway markets.
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