Summit Hotel Properties, Inc. entered into an agreement to acquire Holiday Inn Express & Suites and Hilton Garden Inn in Minneapolis for $17.1 million.
January 07, 2013 at 04:00 am
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Summit Hotel Properties, Inc. (NYSE:INN) entered into an agreement to acquire Holiday Inn Express & Suites and Hilton Garden Inn in Minneapolis for $17.1 million on January 7, 2013. Summit Hotel will acquire Holiday Inn for $6.9 million, which will be funded by assuming approximately $3.8 million of existing first mortgage debt, and Hilton Garden for $10.2 million, which will be funded by assuming approximately $6.5 million of existing first mortgage debt, and remaining purchase price for both acquisitions will be funded from $128.93 million net proceeds of public offering dated January 7, 2013. The purchase price is subject to closing prorations and adjustments. Summit also intends to fund the cash portion of these acquisitions from borrowings under senior secured revolving credit facility.
These acquisitions are subject to franchisor and lender approval and the satisfaction of customary closing conditions. The acquisitions are expected to complete in the first quarter of 2013. The acquisitions are expected to complete in the second quarter of 2013.
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 96 assets, 54 of which are wholly owned, with a total of 14,256 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. entered into an agreement to acquire Holiday Inn Express & Suites and Hilton Garden Inn in Minneapolis for $17.1 million.
SUMMIT HOTEL PROPERTIES, INC. 
