{"id":406499,"date":"2020-12-30T08:03:35","date_gmt":"2020-12-30T13:03:35","guid":{"rendered":"http:\/\/www.marketnewsdesk.com\/?p=406499"},"modified":"2020-12-30T08:03:35","modified_gmt":"2020-12-30T13:03:35","slug":"service-properties-trust-completes-the-sale-of-ten-hotels-for-41-0-million","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/service-properties-trust-completes-the-sale-of-ten-hotels-for-41-0-million\/","title":{"rendered":"Service Properties Trust Completes the Sale of Ten Hotels for $41.0 Million"},"content":{"rendered":"

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Service Properties Trust Completes the Sale of Ten Hotels for $41.0 Million<\/b><\/p>\n

Enters Short-Term Lease for Five Additional Hotels Until Expected Sale in Mid-2021 for $22.3 Million<\/i><\/p>\n

NEWTON, Mass.–(BUSINESS WIRE<\/a>)–Service Properties Trust<\/a> (Nasdaq: SVC), or SVC, today announced that it has completed the previously announced sale of ten Hawthorn Suites branded hotels with 1,212 rooms and a net carrying value of $30.4 million for an aggregate sales price of $41.0 million, excluding closing costs. The proceeds from the sale will be used for the repayment of debt.\n<\/p>\n

\nSVC also entered a short-term lease and revised purchase agreement for its five remaining Hawthorn Suites branded hotels with the same buyer. SVC has agreed to sell these five hotels with 430 rooms and a net carrying value of $10.7 million for $22.3 million and expects to complete the sale of these hotels by the end of the second quarter of 2021.\n<\/p>\n

John Murray<\/a>, President and Chief Executive Officer of SVC, made the following statement regarding today\u2019s announcement:\n<\/p>\n

\n\u201cWe are pleased to have reached this restructured agreement for the sale and lease of these 15 hotels. In addition to closing on the sale of ten hotels, we will receive lease income for the five remaining hotels at an 8% return until these hotels are sold, which we expect to occur in the first half of 2021.\u201d\n<\/p>\n

About Service Properties Trust<\/b><\/p>\n

\nService Properties Trust is a real estate investment trust which owns a diverse portfolio of hotels and net lease service and necessity-based retail properties across the United States and in Puerto Rico and Canada with 149 distinct brands across 23 industries. SVC is managed by the majority owned operating subsidiary of The RMR Group Inc. (Nasdaq: RMR)<\/a>, an alternative asset management company that is headquartered in Newton, Massachusetts.\n<\/p>\n

Warning Concerning Forward-Looking Statements<\/b><\/p>\n

\nThis press release contains statements that constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other securities laws. Also, whenever SVC uses words such as \u201cbelieve\u201d, \u201cexpect\u201d, \u201canticipate\u201d, \u201cintend\u201d, \u201cplan\u201d, \u201cestimate\u201d, \u201cwill\u201d, \u201cmay\u201d and negatives or derivatives of these or similar expressions, SVC is making forward-looking statements. These forward-looking statements are based upon SVC\u2019s present intent, beliefs or expectations, but forward-looking statements are not guaranteed to occur and may not occur. Actual results may differ materially from those contained in or implied by SVC\u2019s forward-looking statements. Forward-looking statements involve known and unknown risks, uncertainties and other factors, some of which are beyond SVC\u2019s control. For example:\n<\/p>\n