Cerberus, Chatham Joint Venture Seals $130M Loan

Law360, New York (March 1, 2012, 7:38 PM EST) -- A joint venture between hotel real estate investment trust Chatham Lodging Trust and private equity giant Cerberus Capital Management LP has closed on a $130 million securitized mortgage loan, Chatham said Wednesday.

The loan is secured by 10 previously uncollateralized hotel properties, Chatham said. The first mortgage and mezzanine nonrecourse financing has a three-year maturity with two one-year extension options and carries an all-in interest rate of 6.9 percent, according to the REIT.

The financing generated about $13.1 million for Chatham, more than $1 per share....
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