Condor Hospitality Trust Inc., a hotel-focused REIT headquartered in Bethesda, MD, recently revealed that it has closed on the sale of a legacy hotel asset, the 135-room Comfort Suites located at 52939 US 933 North in South Bend, IN. The sale amount was $6.1 million.
According to a prepared statement from the REIT, net proceeds from the sale will be applied to outstanding debt on the company’s $150 million secured credit facility.
“With the closing of the sale of the Comfort Suites South Bend, we now own only three legacy hotels of the 55 that the Company owned at the beginning of 2015,” says Bill Blackham, Condor’s Chief Executive Officer. “Of the three legacy assets remaining, one is under contract for sale and one is being actively marketed for sale, though there can be no guarantee that these two planned dispositions will actually close.”
Blackham explains that the portfolio transformation is substantially complete as the REIT has now sold 52 legacy hotels generating more than $150 million in gross proceeds and recycled the net proceeds into 14 high-quality select-service assets with an average age of less than four years old.
The company currently owns 18 hotels in 10 states. Condor’s hotels are franchised by a number of the industry’s most well-regarded brand families including Hilton, Marriott, and InterContinental Hotels Group.