Supertel Hospitality, Inc.
), a real estate investment trust (REIT), recently announced that
it has completed the sale of a 64-room Comfort Suites hotel in
Dover, Delaware, for $1.9 million to an undisclosed buyer. The
company intends to utilize the proceeds to fund future growth and
for general corporate purposes.
ASHFORD HOSPTLY (AHT): Free Stock Analysis
SUPERTEL HOSPIT (SPPR): Free Stock Analysis
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Over the past few quarters, Supertel Hospitality has continued
with its transition from the economy hotel sector to a more
upscale hotel operator. Consistent with this deal, the company
intends to divest hotels that no longer fit into its long-term
At the same time, Supertel Hospitality is focusing more on
strengthening its balance sheet. Besides improving the quality of
its portfolio, Supertel Hospitality intends to increase its
liquidity by selling non-core assets. Year-to-date, the company
has sold nine hotels for $16.9 million. Supertel Hospitality
continues to reposition its portfolio through the disposal of
non-strategic assets and acquisition of high-quality properties.
Earlier in the third quarter of 2012, the company sold Super 8
hotel in Watertown, South Dakota for $1.55 million. The proceeds
were utilized to retire debt and for general corporate
purposes. Additionally the company also entered into an
agreement to purchase a 116-room TownePlace Suites in suburban
Des Moines (Urbandale), Iowa for $10.2 million and expanded its
Based in Norfolk, Nebraska, Supertel Hospitality specializes in
the ownership of select-service hotels. The company currently
owns 92 hotels comprising 8,167 rooms in 22 states.
Supertel Hospitality currently retains a Zacks #3 Rank, which
translates into a short-term Hold rating. We also have a
long-term Outperform recommendation on the stock. One of its
Ashford Hospitality Trust Inc
) also holds a Zacks #3 Rank.