SUMMIT HOTEL PROPERTIES, INC. (NYSE:INN) Files An 8-K Entry into a Material Definitive Agreement
Item 1.01.
| Entry into a Material Definitive Agreement |
Extension of Closing Date of Purchase Agreement
As previously disclosed by Summit Hotel Properties, Inc. (Summit)
in a Current Report on 8-K filed on February16, 2016, Summit
Hotel OP, LP, the operating partnership of Summit and certain
affiliated entities (collectively, the Company) and American
Realty Capital Hospitality Portfolio SMT ALT, LLC (ARCH
Purchaser), an affiliate of American Realty Capital Hospitality
Trust,Inc. (ARCH) entered into a letter agreement (the
Reinstatement Agreement) to reinstate the Real Estate Purchase
and Sale Agreement, dated as of June2, 2015, (the Purchase
Agreement) in its entirety, except as modified by the
Reinstatement Agreement.
to the Purchase Agreement, the ARCH Purchaser has the right to
acquire from the Company fee simple interests in the eight hotels
listed below containing a total of 741 guestrooms for an
aggregate purchase price of $77.2 million with a closing that was
required to occur by December30, 2016.
| Hotel | Location | Number of Rooms | ||||
| Residence Inn | Jackson, MS | |||||
| Courtyard by Marriott | Germantown, TN | |||||
| Courtyard by Marriott | Jackson, MS | |||||
| Fairfield Inn Suites | Germantown, TN | |||||
| Residence Inn | Germantown, TN | |||||
| Staybridge Suites | Ridgeland, MS | |||||
| Homewood Suites | Ridgeland, MS | |||||
| Courtyard by Marriott | El Paso, TX | |||||
On December 30, 2016, the Company and the ARCH Purchaser entered
into a letter agreement to extend the required closing date of
the Purchase Agreement to January 10, 2017.
| Item 9.01 | Financial Statements and Exhibits |
| (d) | Exhibits |
| 10.1 |
Letter Agreement, dated as of December 30, 2016, by and among Summit Hotel OP, LP and certain affiliated entities, and American Realty Capital Hospitality Portfolio SMT ALT, LLC. |
Forward Looking Statements
The Current Report on Form 8-K contains statements that are
forward-looking statements within the meaning of the Private
Securities Litigation Reform Act of 1995 and other federal
securities laws. These forward-looking statements are based upon
the Companys expectations and are not guaranteed to occur.
Investors should not place undue reliance upon forward-looking
statements. These statements relate to, among other things, the
Companys pending sale of the remaining eight hotels to the ARCH
Purchaser to the Purchase Agreement. No assurances can be given
that the sale of the remaining eight hotels to the ARCH Purchaser
to the Purchase Agreement will be completed when expected, on the
terms described or at all. The completion of the sale of the
remaining eight hotels to the Purchase Agreement is subject to
certain conditions, which are beyond the control of the Company,
including, without limitation, general economic conditions,
market conditions and other factors, including those set forth in
the Risk Factors section of the Companys periodic reports and
other documents filed with the Securities and Exchange Commission
(the SEC). Copies are available on the SECs website,
www.sec.gov. The Company undertakes no obligation to
update these statements after the date of this Current Report on
Form 8-K.
About SUMMIT HOTEL PROPERTIES, INC. (NYSE:INN)
Summit Hotel Properties, Inc. is a real estate investment trust (REIT). The Company is focused primarily on owning premium-branded, select-service hotels in the Upscale segment of the United States lodging industry. The Company’s portfolio consists of 81 hotels with over 10,957 guestrooms located in 23 states. The Company’s hotels are located in markets, such as business and corporate headquarters, retail centers, airports and tourist attractions. The Company’s portfolio is located in urban and suburban markets. Based on total number of guestrooms, approximately 86% of the Company’s portfolio is positioned in over 50 metropolitan statistical areas (MSAs), and approximately 95% is located within over 100 MSAs. Based on total number of guestrooms, approximately 99% of the Company’s hotels operate under franchise brands owned by Marriott International, Inc., Hilton Worldwide, InterContinental Hotels Group, and an affiliate of Hyatt Hotels Corporation. SUMMIT HOTEL PROPERTIES, INC. (NYSE:INN) Recent Trading Information
SUMMIT HOTEL PROPERTIES, INC. (NYSE:INN) closed its last trading session down -0.07 at 15.85 with 589,448 shares trading hands.