Boston, MA 05\/19\/2014 (wallstreetpr) \u2013\u00a0The self-managed lodging real estate investment trust, Sotherly Hotels Inc (NASDAQ:SOHO)<\/b>, reported a widely positive 1Q and followed the same with an optimistic review of 2014 performance guidance. The company noted that the performance in the quarter gained support from expanded property portfolio especially in the hotels category and overall strength of the market it serves. It expects the trend to continue in the balance of the year.<\/p>\n
In addition to improvement in revenue and funds from operations (FFO), REITs profitability measure, the company also reported acquisitions and cash flow that should support future investments and growth.<\/p>\n
1Q financial results highlight<\/b><\/p>\n
Sotherly Hotels Inc (NASDAQ:SOHO) ended 1Q2014 with adjusted FFO of $3 million, an increase of 38 percent over the same quarter last year. The company had revenue of $25 million in the latest quarter against $20 million in the same period a year ago. The gain in revenue drew support from the improvements in the revenue per available room that increased 8.3 percent over 1Q2013.<\/p>\n
The company realized adjusted EBITDA of $6 million in 1Q2014, up 31 percent over $1.4 million realized in 1Q2013.<\/p>\n
Acquisition deal<\/b><\/p>\n
The company on March 27 acquired Georgian Terrace in Atlanta, Georgia in a deal worth about $61.1 million. Sotherly financed part of the transaction with a $41.5 million loan secured from Bank of Ozarks. It collateralized the loan deal with a mortgage on the property. The loan matures in 2017, the company announced.<\/p>\n
Sotherly Hotels Inc (NASDAQ:SOHO) closed 1Q2014 with cash of about $18.4 million. The total cash included of $13 million in cash and cash equivalent and $5.4 million in restricted cash reserved for capital improvement, real estate taxes, insurance and certain expenses. The quarter closed with the company having outstanding debt of $253.2 million, which bear an average interest rate of about 5.46 percent.<\/p>\n
Executive comment<\/b><\/p>\n
According to Sotherly Hotels Inc (NASDAQ:SOHO) CEO Andrew M. Slims, restructuring the balance sheet played a key role in supporting the latest financial improvements in the company. And with a dedicated management team in place, Sotherly looks forward to positive results for the balance of 2014.<\/p>\n
The company reviewed its revenue expectation for 2014 to between $118 million and $121 million, from between $103 million and $106 million in the initial guidance.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 05\/19\/2014 (wallstreetpr) \u2013\u00a0The self-managed lodging real estate investment trust, Sotherly Hotels Inc (NASDAQ:SOHO), reported a widely positive 1Q and followed the same with […]<\/p>\n","protected":false},"author":6,"featured_media":22634,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[2236],"tags":[5896,5895],"stock_ticker":[],"class_list":["post-22633","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-nasdaqsoho","tag-sotherly-hotels-inc-nasdaqsoho","entry"],"acf":[],"yoast_head":"\n