(numbers are in U.S. dollars unless otherwise indicated)
VANCOUVER, BC, Feb. 15, 2022 /CNW/ – American Hotel Income Properties REIT LP (“AHIP”) (TSX: HOT.UN, HOT.U, and HOT.DB.V) announced today a U.S. dollar cash distribution of $0.015 per limited partnership unit (“Unit”) for February 2022; equivalent to U.S. dollar $0.18 per Unit on an annualized basis. The distribution will be paid March 15, 2022 to unitholders of record at the close of business on February 28, 2022.
“We are pleased to implement the return of our monthly distribution. As one of the first North American hospitality REITs to reinstate its distribution following the global pandemic, AHIP and its portfolio have demonstrated the resilience of the premium-branded select service hotel operating model during this period of unpredictable demand levels.” said Jonathan Korol, CEO. Mr. Korol continued, “Today’s announcement is a signal to the marketplace of the confidence that management and our Board of Directors has in the recovery, sustainability and growth of our business.”
The reinstatement of AHIP’s distribution policy was approved by AHIP’s Board of Directors in November 2021, as previously announced by AHIP on November 9, 2021. Subject to ongoing approvals by the Board of Directors, AHIP intends to pay cash distributions on or about the 15th day of each month to the unitholders of record on the last trading day of the immediately preceding month.
ABOUT AMERICAN HOTEL INCOME PROPERTIES REIT LP
American Hotel Income Properties REIT LP (TSX: HOT.UN, TSX: HOT.U, TSX: HOT.DB.V), or AHIP, is a limited partnership formed to invest in hotel real estate properties across the United States. AHIP’s premium branded, select-service hotels are located in secondary metropolitan markets that benefit from diverse and typically stable demand. AHIP’s hotels operate under brands affiliated with Marriott, Hilton, IHG and Choice Hotels through license agreements. The Company’s long-term objectives are to build on its proven track record of successful investment, deliver monthly U.S. dollar denominated distributions to unitholders, and generate value through the continued growth of its diversified hotel portfolio. More information is available at www.ahipreit.com.
Certain statements in this news release may constitute “forward-looking information” within the meaning of applicable securities laws (also known as forward-looking statements). Forward looking information involves known and unknown risks, uncertainties and other factors, and it may cause actual results, performance or achievements or industry results, to be materially different from any future results, performance or achievements or industry results expressed or implied by such forward-looking information. Forward-looking information generally can be identified by the use of terms and phrases such as “anticipate”, “believe”, “could”, “estimate”, “expect”, “feel”, “intend”, “may”, “plan”, “predict”, “project”, “subject to”, “will”, “would”, and similar terms and phrases, including references to assumptions. Some of the specific forward-looking statements in this news release include, but are not limited to, statements with respect to: the confidence of AHIP management and the Board of Directors in the recovery, sustainability and growth of AHIP’s business; AHIP’s intention to pay cash distributions on or about the 15th day of each month to the unitholders of record on the last trading day of the preceding month; and AHIP’s stated long-term objectives.
Forward-looking information is based on a number of key expectations and assumptions made by AHIP, including, without limitation: AHIP’s new distribution policy will be sustainable; AHIP will not be prevented from paying distributions under the terms of its senior credit facility or investor rights agreement or any other agreement; AHIP’s business will perform consistent with AHIP’s expectations; and AHIP will achieve its long term objectives. Although the forward-looking information contained in this news release is based on what AHIP’s management believes to be reasonable assumptions, AHIP cannot assure investors that actual results will be consistent with such information.
Forward-looking statements are provided for the purpose of presenting information about management’s current expectations and plans relating to the future and readers are cautioned that such statements may not be appropriate for other purposes. Forward-looking statements involve significant risks and uncertainties and should not be read as guarantees of future performance or results as actual results may differ materially from those expressed or implied in such forward-looking statements. Those risks and uncertainties include, among other things, risks related to: the impacts of the COVID-19 pandemic may continue to negatively impact the U.S. economy, the hotel industry, the willingness of the general public to travel, demand for travel, transient and group business, guest traffic and guest reservations, the level of consumer confidence in the safety of travel, consumer and corporate behavior with respect to travel and AHIP’s business; recent recovery trends may not continue and may regress; monthly cash distributions are not guaranteed and remain subject to the approval of Board of Directors and may be reduced or suspended at any time at the discretion of the Board; the payment of distributions by AHIP to its unitholders is subject to the satisfaction of certain financial covenants under AHIP’s senior credit facility; and AHIP’s investor rights agreement prohibits the payment of distributions by AHIP in certain circumstances. Management believes that the expectations reflected in forward-looking statements are based upon reasonable assumptions and information currently available; however, management can give no assurance that actual results will be consistent with these forward-looking statements. Additional information about risks and uncertainties is contained in AHIP’s MD&A dated November 9, 2021 and annual information form for the year ended December 31, 2020, copies of which are available on SEDAR at www.sedar.com.
The forward-looking information contained herein is expressly qualified in its entirety by this cautionary statement. Forward-looking information reflects management’s current beliefs and is based on information currently available to AHIP. The forward-looking information is made as of the date of this news release and AHIP assumes no obligation to update or revise such information to reflect new events or circumstances, except as may be required by applicable law.
SOURCE American Hotel Income Properties REIT LP
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