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News Sep 14, 2015

Shearman & Sterling Advises on Term Loan for American Realty Capital Hospitality Trust

Shearman & Sterling represented Deutsche Bank AG New York Branch, as administrative agent, in connection with a $450 million unsecured term loan facility for affiliates of American Realty Capital Hospitality Trust, Inc. (“ARC Hospitality”). The $450-million facility will be used to finance the lodging REIT’s acquisition of three portfolios of hotels from affiliates of Summit Hotel Properties, Noble Investment Group and Wheelock Street Capital. Upon completion of the acquisitions, ARC Hospitality’s portfolio will total 166 hotels, comprising 20,195 rooms in 34 states.  Among the major global brands represented are the flags of Marriott International, Hilton Hotels & Resorts, Hyatt Hotels, InterContinental Hotels Group and Starwood Hotels and Resorts.

ARC Hospitality is a publicly registered, non-traded real estate investment trust. ARC Hospitality’s investment strategy focuses on acquiring stable, institutional quality and strategically located lodging properties in North America branded by premium national hotel brands.

The Shearman & Sterling team included partner Malcolm Montgomery (New York-Real Estate), counsel Paul Balaam (London-Real Estate), associate Matthew Tosto (New York-Corporate) and specialist Todd Matthias (New York-Real Estate).