Summit Hotel Properties Secures $650M Credit Facility with 20bps Rate Cut
INN•Summit Hotel Properties refinanced a $650M senior unsecured facility with a $400M revolver, $200M term loan and $50M delayed draw, extending maturity to June 2031. The new agreement cuts spreads by 20 basis points over Term SOFR, extends debt maturity to 3.7 years and leaves only $5M drawn, preserving liquidity.
1. Refinancing Structure
Summit Hotel Properties completed a refinancing of its senior unsecured credit facility totaling $650 million, comprised of a $400 million revolving credit facility, a $200 million term loan and a $50 million delayed draw term loan.
2. Improved Terms and Maturity
The amended agreement extends the fully extended maturity date to June 2031 and improves pricing by 20 basis points over adjusted Term SOFR, reducing borrowing costs and delivering immediate interest savings.
3. Liquidity and Strategic Flexibility
With only $5 million currently drawn under the revolver, the Company has preserved significant available liquidity to support strategic initiatives, pursue acquisitions and optimize its capital allocation objectives.
