DiamondRock Closes $74 Million Secured Financing On The Westin Washington D.C.
City Center Hotel
BETHESDA, Md., Dec. 20, 2012
BETHESDA, Md., Dec. 20, 2012 /PRNewswire/ -- DiamondRock Hospitality Company
(the "Company") (NYSE: DRH) today announced that it closed on a $74 million
loan secured by a mortgage on its Westin Washington D.C. City Center hotel.
The loan bears interest at a fixed rate of 3.99% and has a term of 10 years.
(Logo: http://photos.prnewswire.com/prnh/20040708/DCTH028 )
"This financing accomplished several objectives for DiamondRock, including
locking in a low interest rate for 10 years, significantly reducing
outstanding borrowings on our credit facility, and further laddering our
maturity schedule. We are very pleased with theattractive long-term
financingfor this loan," stated Sean M. Mahoney, Chief Financial Officer of
DiamondRock Hospitality Company.
The loan proceeds will be used to repay a significant portion of the
outstanding borrowings on the Company's credit facility. The Company expects
to end the year with approximately $20 million outstanding under its $200
million senior unsecured credit facility. After completion of this loan, 15 of
the Company's 27 hotels remain unencumbered by property-specific mortgage
About the Company
DiamondRock Hospitality Company is a self-advised real estate investment trust
(REIT) that is an owner of premium hotel properties. The Company owns 27
premium hotels with approximately 11,600 rooms and holds the senior mortgage
loan on another premium hotel. The Company's hotels are generally operated
under globally recognized brands such as Hilton, Marriott, and Westin. For
further information, please visit DiamondRock Hospitality Company's website at
This press release contains forward-looking statements within the meaning of
federal securities laws and regulations. These forward-looking statements are
identified by their use of terms and phrases such as "believe," "expect,"
"intend," "project," "anticipate," and other similar terms and phrases,
including references to assumptions and forecasts of future results.
Forward-looking statements are not guarantees of future performance and
involve known and unknown risks, uncertainties and other factors which may
cause the actual results to differ materially from those anticipated at the
time the forward-looking statements are made. These risks include, but are
not limited to: national and local economic and business conditions that will
affect occupancy rates at our hotels and the demand for hotel products and
services; operating risks associated with the hotel business; risks associated
with the level of our indebtedness and our ability to meet covenants in our
debt agreements; our ability to complete acquisitions; the performance of
acquired properties after they are acquired; necessary capital expenditures on
the acquired properties; and our ability to continue to satisfy complex rules
in order for us to qualify as a REIT for federal income tax purposes; and
other risks and uncertainties associated with our business described from time
to time in our filings with the Securities and Exchange Commission. Although
we believe the expectations reflected in such forward-looking statements are
based upon reasonable assumptions, we can give no assurance that the
expectations will be attained or that any deviation will not be material. All
information in this release is as of the date of this release, and we
undertake no obligation to update any forward-looking statement to conform the
statement to actual results or changes in our expectations.
SOURCE DiamondRock Hospitality Company
Contact: Sean Mahoney, +1-240-744-1150
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