Ashford Hospitality Trust And Prudential Real Estate Investors Complete $103 Million Financing On Hilton Boston Back Bay

 Ashford Hospitality Trust And Prudential Real Estate Investors Complete $103
                 Million Financing On Hilton Boston Back Bay

PR Newswire

DALLAS, Dec. 18, 2012

DALLAS, Dec. 18, 2012 /PRNewswire/ --Ashford Hospitality Trust, Inc. (NYSE:
AHT) today announced that the Company, along with its joint venture partner,
Prudential Real Estate Investors, has closed a $103.0 million loan secured by
the Hilton Boston Back Bay Hotel in Boston, Massachusetts. This hotel is part
of the Company's Highland Hospitality Portfolio, which is held in a joint
venture with PREI®, of which Ashford has a 71.74% ownership interest. Terms
described in this press release refer to 100% of the loan indebtedness unless
otherwise indicated.

The new financing, which has a five-year term and bears interest at a fixed
interest rate of 4.38%, replaces an existing $63.0 million loan on the
property with a fixed interest rate of 5.96%. At closing, $31.9 million of
the excess loan proceeds were used to pay down the mezzanine debt balance on
the overall Highland Hospitality Portfolio, which had an average interest rate
of 8.4%, thereby achieving annual interest savings of approximately $2.0

"We continue to take advantage of the current favorable interest rate
environment and attractive debt capital markets, allowing us to further
decrease our annual interest expense on the Highland Hospitality Portfolio."
said Monty J. Bennett, Chief Executive Officer of Ashford Hospitality Trust.
"We are also actively pursuing early refinancing of other hotel assets to
lower our interest rate and obtain excess proceeds. This strategy is
succeeding in reducing near term refinancing risk while increasing the
weighted average maturity of our loans. We hope to have an update soon on the
progress of our other refinancing initiatives, including the Renaissance
Nashville and Westin Princeton loans. As always, we remain keenly focused on
maximizing value for our shareholders."

Ashford is a self-administered real estate investment trust focused on
investing in the hospitality industry across all segments and at all levels of
the capital structure. Additional information can be found on the Company's
website at

Certain statements and assumptions in this press release contain or are based
upon "forward-looking" information and are being made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements are subject to risks and uncertainties. When
we use the words "will likely result," "may," "anticipate," "estimate,"
"should," "expect," "believe," "intend," or similar expressions, we intend to
identify forward-looking statements. Such forward-looking statements include,
but are not limited to, the timing for closing, the impact of the transaction
on our business and future financial condition, our business and investment
strategy, our understanding of our competition and current market trends and
opportunities and projected capital expenditures. Such statements are subject
to numerous assumptions and uncertainties, many of which are outside Ashford's

These forward-looking statements are subject to known and unknown risks and
uncertainties, which could cause actual results to differ materially from
those anticipated, including, without limitation: general volatility of the
capital markets and the market price of our common stock; changes in our
business or investment strategy; availability, terms and deployment of
capital; availability of qualified personnel; changes in our industry and the
market in which we operate, interest rates or the general economy; and the
degree and nature of our competition. These and other risk factors are more
fully discussed in Ashford's filings with the Securities and Exchange
Commission. EBITDA is defined as net income before interest, taxes,
depreciation and amortization. EBITDA yield is defined as trailing twelve
month EBITDA divided by the purchase price. A capitalization rate is
determined by dividing the property's annual net operating income by the
purchase price. Net operating income is the property's funds from operations
minus a capital expense reserve of either 4% or 5% of gross revenues. Funds
from operations ("FFO"), as defined by the White Paper on FFO approved by the
Board of Governors of the National Association of Real Estate Investment
Trusts ("NAREIT") in April 2002, represents net income (loss) computed in
accordance with generally accepted accounting principles ("GAAP"), excluding
gains (or losses) from sales of properties and extraordinary items as defined
by GAAP, plus depreciation and amortization of real estate assets, and net of
adjustments for the portion of these items related to unconsolidated entities
and joint ventures.

The forward-looking statements included in this press release are only made as
of the date of this press release. Investors should not place undue reliance
on these forward-looking statements. We are not obligated to publicly update
or revise any forward-looking statements, whether as a result of new
information, future events or circumstances, changes in expectations or

SOURCE Ashford Hospitality Trust, Inc.

Contact: David Kimichik, Chief Financial Officer, +1-972-490-9600, or Elise
Chittick, Investor Relations, +1-972-778-9487, or Scott Eckstein, Financial
Relations Board, +1-212-827-3766
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