Sandpiper Lodging Trust (SLT) has completed the acquisition of five operating hotels from affiliates Sandpiper Hospitality III LLC and Sandpiper Hospitality IV LLC that operate under the WoodSpring Suites brand. These five properties are located in White Marsh, MD; Greenbelt, MD; Virginia Beach, VA; and two in Baton Rouge, LA.
After this transaction, SLT owns 28 extended-stay hotel assets across nine states. The transaction was financed with a combination of borrowing under the company’s recently expanded $200 million revolving credit facility, the assumption of existing debt on certain of the acquired properties and the rollover of the majority of investor equity in the affiliated funds.
“These recent asset acquisitions continue our strategy of expanding our national footprint and building meaningful scale in the extended-stay hotel segment,” said P. Carter Rise, chairman/president/CEO, SLT. “We believe this sector outperforms virtually every other sector in the hospitality space in uncertain economic times and we continue to see tremendous opportunity to build a significant portfolio of extended-stay hotels. Further, I am pleased and humbled by the fact that more than 70% of the investors in these two funds elected to reinvest with us by rolling their investment over in SLT.”