Berkadia has arranged a highly structured $353 million capital solution on behalf of Kemmons Wilson Hospitality Partners and Ascendant Capital Partners in connection with the acquisition and privatization of Sotherly Hotels, a publicly traded hotel company that owns a portfolio of ten assets across the Southeastern United States.
The capitalization includes a $308 million senior mortgage loan and a $45 million structured mezzanine facility, together supporting the private equity sponsor’s acquisition of the public entity and the execution of a value-add business plan for the assets it is retaining.
The Washington, D.C.-based Berkadia Hotels & Hospitality mortgage banking team arranged the debt and served as strategic capital markets advisor to Kemmons Wilson.
“This was a sophisticated, multi-layered capital stack that required a bespoke solution and tightly coordinated execution,” said Jennifer Dakin, managing director at Berkadia. “Our role was to a
