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Supertel Hospitality – SPPR – Closed on the sale of a 49 room Super 8 hotel in El Dorado

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Supertel Hospitality, Inc. (NASDAQ: SPPR), a real estate investment trust (REIT) which currently owns 97 hotels in 23 states, today announced that it closed on the sale of a 49 room Super 8 hotel in El Dorado, Kansas on April 20, 2012, at a sale price of $1.625 million. The hotel was developed by Supertel in January 1992 and was no longer classified as a core asset of the company, primarily due to size and age.

The associated mortgage debt of $840,000 was fully retired with excess proceeds being applied to general corporate purposes. “With the sale of the El Dorado, Kansas Super 8 hotel, we make yet another step in our plan to divest ourselves of non-strategic assets and shift our portfolio in favor of premium-branded, select-service properties,” said Kelly A. Walters, Supertel president and chief executive officer. “This property was developed by the original Supertel founders and it served us well for the past twenty years, but given that it is an economy hotel in a small market with just 49 rooms, the asset no longer fits our investment strategy.” The sale of the El Dorado Super 8 marks the third non-core hotel sold by the company year to date.

About Supertel Hospitality, Inc. (SPPR)


Supertel Hospitality, Inc. (SPPR) is a self-administered real estate investment trust that specializes in the ownership of select-service hotels. The company currently owns 97 hotels comprising 8,573 rooms in 23 states. SPPR’s hotels are franchised by a number of the industry’s most well regarded brand families, including Hilton, IHG, Choice and Wyndham.

SPPR is a self-administered real estate investment trust (REIT). It is engaged in the business of owning equity interests in hotel properties. As of December 31, 2010, the Company, though its subsidiaries, owned 106 limited service hotels in 23 states. The hotels are operated by Royco Hotels (95 hotels) and HLC (11 hotels). Through its wholly owned subsidiaries, Supertel Hospitality REIT Trust and E&P REIT Trust, the Company owns a controlling interest in Supertel Limited Partnership and E&P Financing Limited Partnership. It conducts its business through a umbrella partnership REIT (UPREIT), in which the Company’s hotel properties are owned by its operating partnerships, Supertel Limited Partnership and E&P Financing Limited Partnership, limited partnerships and limited liability companies. In January 2012, the Company sold 83-room Super eight hotel in Fayetteville. On March 27, 2012, it sold a 63 room Super 8 hotel in Muscatine, Iowa.

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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.


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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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