Braemar closes $358 million refinancing for four hotels
Braemar Hotels & Resorts closed a $358.0 million CMBS refinancing secured by four hotels, replacing two loans with combined balances of approximately $290.4 million. The new floating-rate financing is priced at SOFR + 2.37%, begins with a two-year term, allows three annual extensions, and reaches final maturity in November 2031. The transaction cuts the hotels’ weighted-average spread by approximately 104 basis points, while the balance was $42.0 million below the $400.0 million estimate in the company’s October 2026 investor presentation.
Why it matters
The refinancing lowers the applicable interest-rate spread and pushes out maturities for four properties, changing Braemar’s financing costs and debt timeline. CEO Richard J. Stockton said the terms support long-term value for shareholders.
Key facts
- 1The financing is secured by The Ritz-Carlton St. Thomas, Sofitel Chicago Magnificent Mile, The Notary Hotel, and The Ritz-Carlton Reserve Dorado Beach. prnewswire.com
- 2The new loan carries a floating rate of SOFR + 2.37% and has a two-year initial term with three one-year extension options. prnewswire.com
- 3The refinancing reduces the weighted-average spread from approximately 3.41% to approximately 2.37%, a reduction of approximately 104 basis points. prnewswire.com
- 4The new loan balance is $42.0 million below the $400.0 million estimate in Braemar’s October 2026 investor presentation. prnewswire.com
- 5The replaced CMBS loans had combined outstanding balances of approximately $290.4 million as of September 30, 2026. prnewswire.com
- 6Final maturity extends to November 2031. prnewswire.com
Summary written by AlphAI AI Desk from 3 of 3 sources. Not investment advice. Figures are as stated by the linked sources.