American Hotel Income Properties REIT LP announces the acquisition of a new 110-room Oak Tree Inn hotel in Wellington, Kansas






VANCOUVER, Feb. 25, 2015 /PRNewswire/ – American Hotel Income Properties REIT LP (“AHIP“) (TSX: HOT.UN; OTCQX: AHOTF) announced today the acquisition of a newly built 110-room Oak Tree Inn hotel in Wellington, Kansas (the “Property“) from SunOne Developments Inc. (“SunOne“) for a total purchase price of US$7,410,000 plus closing adjustments.  The acquisition was financed by a combination of:  (i) approximately US$1,435,000 from cash on hand; (ii) a new US$4,725,000 mortgage on the Property; (iii) the offset of approximately US$650,000 in mezzanine loans owed by SunOne to a subsidiary of AHIP; and (iv) the issuance of US$600,000 (or 66,927 units) of AHIP units from treasury. 

The new mortgage has a variable rate of the 30-day LIBOR rate plus 3.00% with a floor interest rate of 4.00%.  It has a 10-year term with a 20-year amortization schedule.  The newly-issued AHIP units were issued at Cdn$11.20 per unit, which represents the five-day volume-weighted average trading price of the units on the Toronto Stock Exchange.

Mr. Rob O’Neill, Chief Executive Officer of AHIP, commented, “The new Wellington hotel will be the flagship of the Oak Tree Inn portfolio, the highest quality chain of crew lodging facilities presently serving the U.S. freight railway industry. This is the fourth property delivered by SunOne to AHIP over the past year and is secured by a long-term railway contract that guarantees the majority of its available room nights, and also extends its 20-year relationship with the railway in Wellington for another decade.”  The Property is located in Wellington, Kansas, which is approximately 30 miles south of Wichita, Kansas.  The new hotel includes an existing Penny’s Diner and will be managed by TR Lodging Enterprises Inc., a wholly-owned subsidiary of O’Neill Hotels & Resorts Ltd.  The existing Wellington hotel will continue to be used in operations.  The grand opening is scheduled for Thursday March 5, 2015 with a formal ceremony including city officials, railway representatives and other key dignitaries.

Following this acquisition, AHIP’s 61-hotel portfolio will consist of 38 Oak Tree Inn hotels with 2,882 guestrooms and 23 branded hotels with 2,347 guestrooms franchised with leading national and international hotel brands.

About American Hotel Income Properties REIT LP

AHIP is a limited partnership formed under the Limited Partnerships Act (Ontario) to invest in hotel real estate properties located substantially in the United States and is engaged primarily in the railroad employee accommodation, contract-focused, transportation-oriented, and branded select-service lodging sectors.

AHIP’s properties are located in the United States in close proximity to railroads, airports, highway interchanges, and other transportation hubs and demand generators. AHIP’s long-term objectives are to: (i) generate stable and growing cash distributions from hotel properties substantially in the U.S.; (ii) enhance the value of its assets and maximize the long-term value of the hotel properties through active management; and (iii) expand its asset base and increase its Adjusted Funds from Operations (“AFFO”) per unit through an accretive acquisition program, participation in strategic development opportunities and improvements to its properties through targeted value-added capital expenditure programs.

Additional information relating to AHIP, including its other public filings, is available on SEDAR at www.sedar.com and on AHIP’s website at www.ahipreit.com.

THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.

SOURCE American Hotel Income Properties REIT LP

RELATED LINKS
www.ahipreit.com

Los Angeles stadium plan moves forward with Inglewood approval


Los Angeles stadium strategy moves forward along with Inglewood approval

Feb 25, 2015

The Inglewood City Council voted unanimously Tuesday night to approve an 80,000-seat stadium at the site of the old Hollywood Park racetrack, jump-starting the effort to bring an NFL group back to the area after a two-decade absence.
After almost four hours of presentations and discussion in front of a weary crowd, Inglewood Mayor James T. Butts Jr. hailed the agreement as “the …
(continue reading)

Nordstrom to Relocate Los Angeles Store


Nordstrom to Relocate Los Angeles Store

Feb 25, 2015

Nordstrom to Relocate Los Angeles Store
February 25, 2015
Seattle-based Nordstrom Inc. announced plans to relocate its Westside Pavilion full-line store to Westfield Century City in Los Angeles. The brand-new three-level, approximately 149,000-sq.-ft. store is expected to open in 2017 as portion of an $800 million redevelopment of Westfield Century City that includes a near doubling of …
(continue reading)

San Diego County Credit Union customers donate over 15,000 meals to local San Diegans


San Diego County Credit Union customers donate over 15,000 dishes to local San Diegans

Feb 25, 2015

SAN DIEGO, Feb. 25, 201five /PRNewswire-USNewswire/ — Customers of San Diego County Credit Union (SDCCU), San Diego’s largest locally-owned financial institution, have actually donated more than 15,000 dishes to San Diegans through SDCCU Dining DealsTM.
Through a partnership along with MOGL, SDCCU customers that are enrolled in SDCCU Dining Deals® receive up to 2five percent cash back on their …
(continue reading)

UCLA physicists offer a solution to the puzzle of the origin of matter in the universe University of California – Los Angeles


UCLA physicists offer a solution to the puzzle of the origin of matter in the universe University of California – Los …

Feb 25, 2015

Most of the laws of nature treat particles and antiparticles equally, however stars and planets are made of particles, or matter, and not antiparticles, or antimatter. That asymmetry, which favors matter to a pretty small degree, has actually puzzled scientists for lots of years.
Brand-new research by UCLA physicists, published in the journal Physical Review Letters, offers a possible solution to the …
(continue reading)

Public Release: 25-Feb-2015 UCLA physicists offer a solution to the puzzle of the origin of matter in the universe University of California – Los Angeles Most of the laws of nature treat particles and antiparticles equally, but stars and planets are…


Public Release: 25-Feb-2015 UCLA physicists offer a solution to the puzzle of the origin of matter in the universe …

Feb 25, 2015

Most of the laws of nature treat particles and antiparticles equally, yet stars and planets are made of particles, or matter, and not antiparticles, or antimatter. That asymmetry, which favors matter to a quite small degree, has actually puzzled scientists for lots of years.
Brand-new research by UCLA physicists, published in the journal Physical Review Letters, offers a possible solution to the …
(continue reading)

Troutman Sanders to open San Francisco office


Troutman Sanders to open San Francisco office

16:17 GMT

Noah Berger | Bloomberg
Troutman Sanders LLP announced Feb. 25 plans to open an work environment in San Francisco.
Troutman Sanders LLP announced Feb. 25 plans to open an work environment in San Francisco.
The Atlanta-based law firm said the firm’s fourth work environment on the West Coast since it very first expanded in to California in 2009 will certainly focus initially on the areas of energy, finance, insurance, …
(continue reading)

Fifty hurt when Southern California commuter train slams into lorry


Fifty hurt when Southern California commuter train slams in to lorry

Feb 24, 2015

By Michael Fleeman
OXNARD, Calif.
Tue Feb 24, 201five 10:40pm GMT
OXNARD, Calif. (Reuters) – A Los Angeles-bound commuter train slammed in to a develop lorry apparently stuck on the tracks in a Southern California city prior to dawn on Tuesday, injuring 50 individuals in a fiery crash, some of them critically.
The lorry driver, that was not hurt, left the scene of the destruction in Oxnard on …
(continue reading)

Fifty hurt when Southern California commuter train slams into truck


Fifty hurt when Southern California commuter train slams in to truck

02:36 GMT

By Michael Fleeman
OXNARD, Calif.
Wed Feb 25, 2015 1:29am GMT
OXNARD, Calif. (Reuters) – A Los Angeles-bound commuter train slammed in to a develop truck apparently stuck on the tracks in a Southern California city prior to dawn on Tuesday, injuring 50 individuals in a fiery crash, some of them critically.
The truck driver, that was not hurt, left the scene of the destruction in Oxnard on …
(continue reading)