
Pebblebrook Hotel Trust executed a US$50 million secured loan with PNC Bank. The loan has a 5-year term and a fixed annual interest rate of 3.9%.
Pebblebrook Hotel Trust today announced that it has successfully executed a new $50.0 million non-recourse, secured loan with PNC Bank, N.A. at a fixed annual interest rate of 3.90 percent. The loan has a term of five years and is secured by a first mortgage on the Company's 306-room Hotel Sofitel Philadelphia (pictured above) in Philadelphia, Pennsylvania. Proceeds from the loan will be used to pay down the outstanding balance on the Company's credit facility, to fund future acquisitions 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 balance sheet is very strong and we continue to be well capitalized to take advantage of acquisition opportunities in the marketplace."Following the application of proceeds from the Hotel Sofitel Philadelphia refinancing, the Company has $261.0 million in consolidated debt and $280.6 million in unconsolidated, non-recourse debt at weighted average interest rates of 4.6 percent and 3.2 percent, respectively. The Company has no outstanding balance on its $200.0 million senior unsecured credit facility. The Company has approximately $58.8 million of consolidated cash, cash equivalents and restricted cash and approximately $19.1 million of unconsolidated cash, cash equivalents and restricted cash. The unconsolidated debt, cash, cash equivalents and restricted cash amounts represent the Company's 49 percent pro rata interest in the Company's Manhattan Collection portfolio, a joint venture with affiliates of Denihan Hospitality Group that owns six upper upscale hotels in Manhattan, New York.
