Summit Hotel unloads six hotels

|About: Summit Hotel Properties, ... (INN)|By:, SA News Editor

Summit Hotel Properties (NYSE:INN) discloses that it completed the disposition of six hotels for an aggregate gross sales price of $135M.

The company says the sales resulted in an estimated net gain of $36.6M to rep a 12.8X EBITDA multiple and 6.9% capitalization rate for the trailing twelve months ended March 31.

Summit estimates that the hotels would have contributed ~$9.5M  of EBITDA through the remainder of 2019. Net proceeds from the sale were used to reduce the outstanding balance of the company's unsecured revolving credit facility, which now has $395M available to borrow.

Source: Press Release

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