Braemar Hotels & Resorts Completes $358 Million Refinancing of Four Luxury Properties
Braemar Hotels & Resorts Inc. (NYSE: BHR) has successfully closed a new $358 million CMBS loan to refinance four luxury properties in its portfolio: The Ritz-Carlton St. Thomas, The Ritz-Carlton Reserve Dorado Beach, The Notary Hotel, and Sofitel Chicago Magnificent Mile. This new interest-only loan features a floating rate of SOFR + 2.37% and includes extension options that push the final maturity date to November 2031. The refinancing replaces approximately $290.4 million in existing debt, effectively reducing the weighted-average interest rate spread by roughly 104 basis points from 3.41% to 2.37%. Additionally, the total loan balance is $42 million lower than previously estimated by the company in its October investor presentation, which management attributes to disciplined capital allocation.
Topics: CMBS loan debt maturity extension interest rate reduction refinancing