PROCACCIANTI HOTEL REIT, INC.

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.

PROCACCIANTI HOTEL REIT reported a net loss attributable to common stockholders of $(1.12) million for the six months ended June 30, 2026, a significant decline from a $7,273 profit in the prior year period. Total revenues for the second quarter decreased to $8.90 million from $9.17 million year-over-year, and year-to-date revenues also saw a decline. The company also refinanced several mortgage notes, including the St. Petersburg, Wilmington, TCI, and HGI Notes, with some interest rate adjustments.

Procaccianti Hotel REIT, Inc. announced its updated estimated Net Asset Value (NAV) per share for its common stock classes as of March 31, 2026. The Board approved NAVs of $10.17 for K-I and K Shares, $5.91 for A Shares, and $0.00 for B Shares. This valuation, overseen by the Audit Committee and conducted by an independent firm, reflects an approximate 10.65% increase in the total value of the company's real estate assets over their aggregate purchase price and improvements.

Procaccianti Hotel REIT, Inc. announced that it prorated share repurchases for the quarter ended March 31, 2026, due to reaching its Funding Limitation. Insufficient net proceeds from the distribution reinvestment plan (DRIP) prevented the company from funding all repurchase requests. While requests from deceased stockholders will be honored in full, other remaining repurchase requests will be fulfilled at approximately 1.3% of the shares requested.

Procaccianti Hotel REIT, Inc.'s wholly-owned subsidiary, PHR TCI, LLC, entered into a Change in Terms Agreement with Beacon Bank & Trust for its Refinancing Loan. The interest rate for the $15.6 million loan, secured by the Hotel Indigo Traverse City, was reduced to a fixed 6.50% per annum for the remainder of its term, which matures on June 6, 2027. Other material terms of the loan remain unchanged.

Procaccianti Hotel REIT reported a significant increase in net loss and a decrease in total revenues for the three months ended March 31, 2026, compared to the same period in 2025. The net loss attributable to common stockholders widened to $(1.86) million, while total revenues fell to $5.11 million. The company's operating loss also substantially increased, reflecting challenging market conditions for its portfolio of five select-service hotels.

Procaccianti Hotel REIT, Inc. (PRXA) announced that its board of directors authorized the payment of distributions totaling $935,986. These distributions are for Class K common stock, Class K-I common stock, and Class K OP Units, covering the quarter ended March 31, 2026. The distributions reflect an accrual rate of 7% per annum for all share and unit classes.