DALLAS–Ashford Hospitality Trust, Inc. (NYSE: AHT) (“Ashford Trust” or the “Company”) announced today that the Company has signed forbearance agreements on its KEYS Loan Pools representing 34 hotels and approximately $1.2 billion of debt. The forbearance agreements allow the Company to defer interest on the loans for a period of six months. Additionally, the agreements allow the Company to utilize lender and manager held reserve accounts, which are included in restricted cash on the Company’s balance sheet, to fund operating shortfalls at the hotels.
With the completion of these agreements, the Company now has loan forbearance or modification agreements in place for 61 properties representing approximately 69% of its current outstanding mortgage debt balance.
“We are pleased with the recent completion of the forbearance agreements for these loans,” commented J. Robison Hays, Ashford Trust’s President and Chief Executive Officer. “While we have made significant progress in our forbearance efforts, we continue to work with our lenders and special servicers to address our remaining defaults. These forbearances play a crucial role in helping the Company navigate the difficulties caused by the COVID-19 pandemic. We continue to focus on strengthening our balance sheet, mitigating our cash utilization, and expanding the company’s liquidity profile.”
Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.
Ashford has created an Ashford App for the hospitality REIT investor community. The Ashford App is available for free download at Apple’s App Store and the Google Play Store by searching “Ashford.”