BETHESDA, Maryland—Pebblebrook Hotel Trust on Friday said it secured a US$52.5 million loan with Goldman Sachs Commercial Mortgage Capital.
The loan has a fixed annualized interest rate of 4.88% and a term of five years. The InterContinental Buckhead Hotel in Buckhead, Georgia, is collateral for the loan. Pebblebrook acquired the property in July for US$105 million.
Proceeds from the loan will be used to fund acquisitions and for general corporate purposes. Officials at Pebblebrook and Goldman Sachs did not immediately return calls for comment.
Following completion of the financing, the REIT said it has US$143.6 million of debt outstanding at a weighted average annual interest rate of 3.78%. There is no outstanding balance on Pebblebrook’s US$150-million senior secured facility.
Goldman Sachs Commercial Mortgage Capital is a wholly owned subsidiary of Goldman Sachs and a commercial mortgage lender. Terms for the company’s fixed-rate products, according to its website, are:
• loan amounts of US$15 million, though smaller amounts might be considered;
• target loan-to-value of 70% (75% LTV is considered also);
• target 9.5% debt yield based on underwritten cash flow; lower debt yield also might be considered;
• fixed-rate pricing of 4.25% to 5.75%, varying by loan term, asset and leverage characteristics;
• maximum 30-year amortization schedule; and
• five- and 10-year loan terms.
Pebblebrook owns eight hotels comprising 2,300 rooms.
Contact:
Pebblebrook Hotel Trust
CFO Ray Martz: 240-507-1330.
Goldman Sachs Commercial Mortgage Capital
Phone: 1-800-710-7616