Pebblebrook Hotel Trust has secured a $1.75bn loan to complete its merger with LaSalle Hotel Properties. The funding will be used to pay off LaSalle’s current outstanding debt balances and other transaction closing costs. The loan will be allocated into five individual tranches, maturing between 2020 and 2024, each of which is prepayable without penalty. The financing will only be funded when the company’s pending merger with LaSalle is completed, which is scheduled for Nov. 30 and is subject to shareholder approval from both companies.
“We are incredibly appreciative of the strong support from our bank group on this significant financing effort as our company enters this transformative period,” commented Raymond D. Martz, CFO of Pebblebrook Hotel Trust. “We are excited to welcome several new financing partners who have joined our bank group as part of this financing effort.”
