Supertel Hospitality announced that it has closed on the sale of two Savannah Suites hotels in Georgia: the 172-room Savannah Suites, in Augusta, which sold for $3.4 million, and the 120-room Savannah Suites in Chamblee, which sold for $4.4 million. The company applied $4.1 million of the proceeds to the GE Capital mortgage note that matures in December 2015.
Bill Blackham, Supertel's CEO said, "Supertel has monetized six hotels in 2015 to date and is expected to accelerate hotel sales in the future in order to recycle capital and acquire relatively new upper midscale and upscale limited service, select service and extended stay hotels that are consistent with our revised investment strategy. As the economy continues to improve, we anticipate this repositioning will yield higher returns for our shareholders."
On April 13, 2015, Supertel entered into an agreement to sell two hotels located in Alexandria, Va., for a purchase price of $19.0 million. The sale is subject to the completion of the inspection period and customary closing conditions. Provided the closing conditions are met, the company expects to complete the sale in late spring or early summer.