Procaccianti Hotel REIT Subsidiary Increases Loan by $1.75M to $17.35M

Procaccianti Hotel REIT, Inc. announced that its subsidiary, PHR TCI, LLC, entered into a First Omnibus Loan Modification Agreement and an Amended and Restated Promissory Note with Beacon Bank & Trust. The agreement increases the maximum principal amount of the existing mortgage loan for the Hotel Indigo property by $1.75 million, bringing the total to $17.35 million. The additional funds are intended to finance capital expenditures and renovations. The maturity date of the loan has been extended from June 6, 2027, to June 6, 2028, with two additional 12-month extension options available under certain conditions. The loan will bear interest at a fixed rate of 6.50% until June 6, 2027, and thereafter at a variable rate tied to U.S. Treasury yields. Monthly interest-only payments are due until June 6, 2028, followed by principal and interest payments. The company also authorized distributions for its common stock and Class K OP Units.