ASHFORD HOSPITALITY TRUST ANNOUNCES EXTENSION OF HIGHLAND LOAN

Rhea-AI Summary

Ashford Hospitality Trust (NYSE: AHT) has successfully extended its Highland mortgage loan, which is secured by 18 hotels. The loan's maturity date has been extended from April 9, 2025, to January 9, 2026, with an additional six-month extension option to July 9, 2026, subject to certain conditions.

As part of the extension agreement, the loan was reduced to $733.6 million, representing approximately 68% of the appraised value. The Highland pool of assets, recently appraised at nearly $1.1 billion, is the most valuable in Ashford Trust's portfolio. The loan now carries a floating interest rate of SOFR + 4.13%.

Positive

• Highland pool assets recently appraised at a substantial $1.1 billion
• Loan-to-value ratio improved to 68% after paydown
• Successfully secured extension providing additional time for potential interest rate improvements
• Option for additional 6-month extension to July 2026

Negative

• Significant debt burden with $733.6 million outstanding loan balance
• Exposure to floating interest rates with SOFR + 4.13% terms
• Required loan paydown to secure extension

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Data tracked by StockTitan Argus on the day of publication.

DALLAS, July 30, 2025 /PRNewswire/ -- Ashford Hospitality Trust, Inc. (NYSE: AHT) ("Ashford Trust" or the "Company") announced today that it has extended its Highland mortgage loan secured by 18 hotels. The loan, which had an original final maturity date of April 9, 2025, now has a maturity date of January 9, 2026, subject to a six-month extension option to July 9, 2026, upon satisfaction of certain conditions. 

"We are pleased to announce the extension of the Highland loan," commented Stephen Zsigray, Ashford Trust's president and chief executive officer. "Having recently appraised for nearly $1.1 billion, the Highland pool of assets is the most valuable in the Ashford Trust portfolio, and we are hopeful that this extension will provide us with an opportunity to benefit from anticipated interest rate cuts and improved coverage metrics ahead of a longer-term refinancing."

As part of the extension, the loan was paid down to a current balance of $733.6 million, or approximately 68% of appraised value. The loan now bears interest at a floating rate of SOFR + 4.13%.

Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.

Forward-Looking Statements

Certain statements and assumptions in this press release contain or are based upon "forward-looking" information and are being made pursuant to the safe harbor provisions of the federal securities regulations. Forward-looking statements are generally identifiable by use of forward-looking terminology such as "may," "will," "should," "potential," "intend," "expect," "anticipate," "estimate," "approximately," "believe," "could," "project," "predict," or other similar words or expressions. Additionally, statements regarding the following subjects are forward-looking by their nature: our business and investment strategy; anticipated or expected purchases, sales or dispositions of assets; our projected operating results; completion of any pending transactions; our ability to restructure existing property-level indebtedness; our ability to secure additional financing to enable us to operate our business; our understanding of our competition; projected capital expenditures; and the impact of technology on our operations and business. Such forward-looking statements are based on our beliefs, assumptions, and expectations of our future performance taking into account all information currently known to us. These beliefs, assumptions, and expectations can change as a result of many potential events or factors, not all of which are known to us. If a change occurs, our business, financial condition, liquidity, results of operations, plans, and other objectives may vary materially from those expressed in our forward-looking statements. You should carefully consider this risk when you make an investment decision concerning our securities. These and other risk factors are more fully discussed in the Company's filings with the SEC.

The forward-looking statements included in this press release are only made as of the date of this press release. Investors should not place undue reliance on these forward-looking statements. We will not publicly update or revise any forward-looking statements, whether as a result of new information, future events or circumstances, changes in expectations or otherwise except to the extent required by law.

View original content:https://www.prnewswire.com/news-releases/ashford-hospitality-trust-announces-extension-of-highland-loan-302518005.html

SOURCE Ashford Hospitality Trust, Inc.

FAQ

What are the new terms of AHT's Highland loan extension?

The Highland loan has been extended to January 9, 2026, with an option for additional extension to July 9, 2026. The current balance is $733.6 million at SOFR + 4.13% interest rate.

What is the current value of AHT's Highland hotel portfolio?

The Highland portfolio of 18 hotels was recently appraised at nearly $1.1 billion, making it the most valuable asset pool in Ashford Trust's portfolio.

What is the loan-to-value ratio for AHT's Highland loan after the extension?

After the loan paydown, the loan-to-value ratio is approximately 68%, with the loan balance at $733.6 million against an appraised value of $1.1 billion.

How many hotels secure AHT's Highland mortgage loan?

The Highland mortgage loan is secured by 18 hotels in Ashford Hospitality Trust's portfolio.

What is the interest rate on AHT's extended Highland loan?

The loan bears a floating interest rate of SOFR + 4.13% following the extension.