Is this U.S.-China selloff a buy? A top Wall Street voice weighs in
WILLIAMSBURG - Sotherly Hotels Inc. (NASDAQ:SOHO) has secured a $42 million secured loan with Citi Real Estate Funding Inc. for its DeSoto Hotel property in Savannah, Georgia, according to a press release statement issued Wednesday. The company, currently valued at $17 million in market capitalization, has shown mixed financial signals according to InvestingPro data, with an EBITDA of $36.6 million in the last twelve months.
The interest-only loan is collateralized by a first mortgage on the historic property and carries a fixed interest rate of 7.13%. The financing matures on October 6, 2030. The company stated that proceeds from the loan were used to repay the existing first mortgage and for general corporate purposes. With a current ratio of 0.22, InvestingPro analysis indicates the company’s short-term obligations exceed its liquid assets, making this refinancing particularly significant.
Dave Folsom, Chief Executive Officer of Sotherly Hotels, described the refinancing as "the culmination of our repositioning strategy that began with our independent lifestyle conversion in 2017."
Sotherly Hotels, a self-managed and self-administered lodging REIT, focuses on acquiring, renovating, and repositioning upscale to upper-upscale full-service hotels in the Southern United States. The company’s current portfolio includes investments in ten hotel properties comprising 2,786 rooms, as well as interests in two condominium hotels and their associated rental programs.
The company operates hotels under the Hilton Worldwide and Hyatt Hotels Corporation brands, in addition to independent properties like the DeSoto. Sotherly Hotels was established in 2004 and is headquartered in Williamsburg, Virginia.
In other recent news, Sotherly Hotels Inc. announced its earnings for the second quarter of 2025, reporting a revenue of $48.8 million. This figure fell short of the projected $51.8 million, resulting in a 5.81% negative surprise. Additionally, the company’s earnings per share (EPS) were reported at -$0.02, which did not meet expectations. Despite these results, the stock experienced a pre-market increase, suggesting some investor optimism. There have been no recent mergers involving Sotherly Hotels. Analyst firms have not released any recent upgrades or downgrades for the company. These developments provide investors with the latest insights into Sotherly Hotels’ financial performance.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.