UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
| Date of Report (Date of Earliest Event Reported): | April 25, 2013 |
CHATHAM LODGING TRUST
__________________________________________
(Exact name of registrant as specified in its charter)
| Maryland | 001-34693 | 27-1200777 |
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_____________________ (State or other jurisdiction |
_____________ (Commission |
______________ (I.R.S. Employer |
| of incorporation) | File Number) | Identification No.) |
| 50 Cocoanut Row, Suite 211, Palm Beach, Florida | 33480 | |
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_________________________________ (Address of principal executive offices) |
___________ (Zip Code) |
| Registrant’s telephone number, including area code: | (561) 802-4477 |
Not Applicable
______________________________________________
Former name or former address, if changed since last report
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
Item 2.03 Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.
Wholly owned subsidiaries of Chatham Lodging Trust (the "Company") issued a $20.0 million loan that is secured by the Courtyard by Marriott Houston Medical Center hotel. The loan carries an interest rate of 4.18 percent and matures in 2023. The loans will amortize based on a 30-year amortization period.
The loan is secured by a first mortgage lien on the respective hotel and its related equipment, fixtures, personal property and other assets. The loan agreement and related documents contain representations, warranties, covenants, conditions and events of default customary for single-property mortgage financings of this type.
Item 9.01 Financial Statements and Exhibits.
Press Release Dated April 29, 2013 Announcing the Houston Financing
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| CHATHAM LODGING TRUST | ||||
| April 29, 2013 | By: |
Dennis M. Craven
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| Name: Dennis M. Craven | ||||
| Title: Chief Financial Officer | ||||
Exhibit Index
| Exhibit No. | Description | |
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99.1
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Press Release Dated April 29, 2013 |
For Immediate Release Contact: |
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Dennis Craven (Company) Chief Financial Officer (561) 227-1386 |
Jerry Daly or Chris Daly Daly Gray (Media) (703) 435-6293 |
Jerry@dalygray.com
Chatham Lodging Trust Locks in Attractive Financing
Proceeds Free Up Capacity on Company’s Line of Credit for Acquisitions
PALM BEACH, Fla., April 29, 2013— Chatham Lodging Trust (NYSE: CLDT), a hotel real estate investment trust (REIT) that owns wholly or through its joint venture approximately $1.5 billion of premium-branded, upscale, extended-stay and select-service hotels, today announced that it has closed on a $20.0 million fixed-rate, first mortgage loan. The 10-year loan, which is secured by the 197-room Courtyard by Marriott Houston Medical Center hotel, was provided by Barclays Bank, plc. The loan carries a fixed interest rate of 4.18 percent per annum, with principal and interest based on a 30-year amortization.
Proceeds from the loan will be used to repay outstanding borrowings under the company’s secured revolving credit facility. The company now has $40 million available under its $115 million revolving credit facility.
“With long-term borrowing rates at historically low levels, we seek to take advantage of these market conditions using reasonable leverage to fund acquisitions, which enables us to lock in solid, long-term returns for our shareholders,” said Dennis Craven, Chatham’s chief financial officer. “This financing gives us considerable flexibility to respond quickly and opportunistically to acquisition opportunities. It also further reduces the weighted average rate on our fixed-rate debt to a very attractive 5.05 percent and extends the weighted average maturity on our fixed-rate debt to 2021.”
About Chatham Lodging Trust
Chatham Lodging Trust is a self-advised REIT that was organized to invest in upscale extended-stay hotels and premium-branded, select-service hotels. The company owns interests in 75 hotels acquired for approximately $1.5 billion, comprised of 20 hotels it wholly owns with an aggregate of 2,733 rooms/suites in 11 states and the District of Columbia and holds a minority investment in a joint venture that owns 53 hotels with an aggregate of 7,026 rooms/suites. Additional information about Chatham may be found at www.chathamlodgingtrust.com
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