BRAEMAR HOTELS & RESORTS ANNOUNCES $358 MILLION REFINANCING OF FOUR HOTELS

The refinancing lowers the weighted-average interest spread, but the new loan balance exceeds the balances of the replaced loans.

Rhea-AI Summary

Braemar Hotels & Resorts (NYSE: BHR) closed a $358.0 million refinancing secured by four hotels, replacing two existing loans.

The new commercial mortgage-backed securities loan is interest-only, with a two-year initial term and three conditional one-year extension options taking final maturity to November 2031. Its floating rate is SOFR, a benchmark interest rate, plus 2.37%. The replaced loans had combined outstanding balances of approximately $290.4 million as of September 30, 2026. The refinancing reduces their weighted-average spread by approximately 104 basis points, from approximately 3.41% to approximately 2.37%. The new balance is $42.0 million below the $400.0 million estimated in the company's October 2026 investor presentation.

2 points · 1 major

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Rhea-AI Sentiment measures something else, the tone of the wording.

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1 major · 3 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major point$358.0 million loan balance is $42.0 million below the October 2026 investor presentation estimate. 3.2× market cap
• Moderate pointInterest spread falls approximately 104 basis points, from approximately 3.41% to approximately 2.37%, across four hotels.

Negative

• Major point$358.0 million secured loan replaces approximately $290.4 million outstanding as of September 30, 2026. 3.2× market cap
• Minor point. Forward-looking: it has not happened yet and may not happen.Floating interest rate is SOFR plus 2.37%, leaving interest payments exposed to benchmark changes.
• Minor point. Forward-looking: it has not happened yet and may not happen.November 2031 final maturity requires three conditional one-year extensions after the two-year initial term.

Key Figures

New loan: $358.0 million Floating interest rate: SOFR + 2.37% Loan term: Two-year initial term with three one-year extension options +4 more

New loan

$358.0 million

CMBS loan secured by four hotels

Floating interest rate

SOFR + 2.37%

Rate on the new loan

Loan term

Two-year initial term with three one-year extension options

Extensions subject to certain conditions

Final maturity

November 2031

With all extension options exercised

Replaced loan balances

Approximately $290.4 million

Combined outstanding balances as of September 30, 2026

Weighted-average spread reduction

Approximately 104 basis points

Across the four hotels, from approximately 3.41% to approximately 2.37%

Loan balance below estimate

$42.0 million

Below the estimate in the Company's October 2026 investor presentation

Key Terms

cmbs, interest-only, sofr

3 terms

cmbs financial

"closed a new $358.0 million CMBS loan secured by"

Commercial mortgage-backed securities (CMBS) are financial products made by bundling many commercial real estate loans — such as those on office buildings, shopping centers, and apartment complexes — and selling pieces of that bundle to investors. Think of it like a fruit basket: each investor owns a share of many loans rather than one property, so returns come from the borrowers’ mortgage payments and the value of the underlying properties; investors watch CMBS for steady income but also for sensitivity to property market conditions, tenant occupancy and interest rates.

interest-only financial

"The loan is interest-only"

A loan or payment plan where the borrower pays only the interest for a set period while the original loan amount (the principal) stays unchanged; after that period payments typically rise to cover principal or a lump-sum principal payment is due. For investors this matters because interest-only structures change cash flows and risk: they can boost short-term income but increase the chance of payment shock or default later, similar to renting a car without paying down the purchase cost until the final bill arrives.

sofr financial

"floating interest rate of SOFR + 2.37%"

The Secured Overnight Financing Rate (SOFR) is a market benchmark that measures the cost of borrowing cash overnight using U.S. Treasury securities as collateral. Investors watch SOFR because it acts like a speedometer for short-term interest costs—affecting loan rates, bond yields and the pricing of interest-rate contracts—so movements change borrowing expenses, cash returns and the value of interest-sensitive investments.

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DALLAS, Nov. 10, 2026 /PRNewswire/ -- Braemar Hotels & Resorts Inc. (NYSE: BHR) ("Braemar" or the "Company") announced today that it has successfully closed a new $358.0 million CMBS loan secured by The Ritz-Carlton St. Thomas, The Ritz-Carlton Reserve Dorado Beach, The Notary Hotel and Sofitel Chicago Magnificent Mile. The loan is interest-only, has a two-year initial term with three one-year extension options, subject to certain conditions, taking the final maturity to November 2031 and provides for a floating interest rate of SOFR + 2.37%.

The new loan replaces two existing CMBS loans with combined outstanding balances of approximately $290.4 million as of September 30, 2026. The loan secured by The Ritz-Carlton St. Thomas, with a balance of approximately $80.5 million, carried a spread of SOFR + 4.91% and had a final maturity of August 2029. The loan secured by The Ritz-Carlton Reserve Dorado Beach, The Notary Hotel and Sofitel Chicago Magnificent Mile, with a balance of approximately $209.9 million, carried a spread of SOFR + 2.83% and had a final maturity of March 2030. Together, the refinancing reduces the weighted-average spread on the loans for these four hotels by approximately 104 basis points, from approximately 3.41% to approximately 2.37%, while also extending the final maturities.

The $358.0 million loan balance is $42.0 million lower than the $400.0 million estimated in the Company's October 2026 investor presentation.

"This refinancing meaningfully lowers our interest rate spread and extends maturities on the loans for four of our seven hotels. The final loan balance also came in well below our October investor presentation estimate, reflecting our management team's disciplined approach to capital allocation and commitment to creating long-term value for shareholders," said Richard J. Stockton, President and Chief Executive Officer.

About Braemar Hotels & Resorts

Braemar Hotels & Resorts Inc. (NYSE: BHR) is a real estate investment trust (REIT) focused on the high-growth luxury hotel and resort sector. Its industry-leading portfolio features luxury properties across the United States and the U.S. territories in the Caribbean.

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/braemar-hotels--resorts-announces-358-million-refinancing-of-four-hotels-302935596.html

SOURCE Braemar Hotels & Resorts, Inc.

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What are the terms of Braemar's $358 million hotel refinancing?

The $358.0 million loan is interest-only and carries a floating rate of SOFR plus 2.37%. It has a two-year initial term, with three one-year extension options subject to certain conditions, taking final maturity to November 2031.

Which hotels secure Braemar's new refinancing loan?

The loan is secured by The Ritz-Carlton St. Thomas, The Ritz-Carlton Reserve Dorado Beach, The Notary Hotel and Sofitel Chicago Magnificent Mile.

What were the terms of the loans replaced by Braemar's refinancing?

The replaced St. Thomas loan had a balance of approximately $80.5 million, a SOFR plus 4.91% spread and an August 2029 final maturity. The loan secured by the other three hotels had a balance of approximately $209.9 million, a SOFR plus 2.83% spread and a March 2030 final maturity.