Moody National REIT I Acquires Two Hotels for $77 Million

Houston, TX – April 29, 2015 – (RealEstateRama) — Moody National REIT I, Inc. (Moody REIT I), a public, non-traded REIT, recently agreed to acquire a hotel in Nashville, Tennessee for $66.3 million, excluding acquisition costs.

The Embassy Suites Nashville Vanderbilt University (Embassy Suites Nashville), built in 2001, offers 208 rooms and is situated on 1.2 acres with convenient access to the Vanderbilt University campus and medical center. Its location in the West End-Midtown district places the hotel and its guests less than two miles from downtown Nashville.

Moody REIT I intends to finance the acquisition with proceeds from its public offering and financing secured by the property. Closing of this acquisition is subject to customary closing conditions.

On March 27, 2015, the REIT also acquired the Hampton Inn Philadelphia Great Valley Malvern (Great Valley Hotel) for $11 million, excluding acquisition costs.

Moody REIT I paid for the hotel with cash from its public offering and financing from Wells Fargo Bank in the amount of $8.2 million through a mortgage secured by the property.

Built in 1998 and renovated in 2004, the Great Valley Hotel offers 125 rooms, of which 10 are suites. It’s a five-story limited service hotel that provides meeting space, a business center, a fitness room, and an outdoor pool.

Moody REIT I terminated its follow-on offering on February 20, 2015. Through March 24, 2015, the REIT had raised over $124 million in gross offering proceeds from its initial and follow-on offerings, plus shares issued pursuant to its distribution reinvestment plan (DRIP).

Source: The DI Wire Publishing