Braemar Hotels & Resorts secured a $358.0 million CMBS loan, cutting its weighted-average interest spread by 104 basis points and extending debt maturities to 2031 for four luxury properties.
Braemar closed a $358.0 million interest-only CMBS loan at SOFR + 2.37%, cutting the weighted-average spread on four hotels by about 104 basis points (from ~3.41%) and extending final maturity to November 2031. The lower rate reduces interest expense on ~$290.4 million of replaced debt, a concrete earnings benefit. The $358.0 million balance is $42.0 million below the October 2026 investor presentation estimate, though it also means less incremental capital raised.
Braemar Hotels & Resorts announced the closing of a $358.0 million CMBS loan, replacing two existing debt facilities totaling $290.4 million. The new interest-only loan carries a floating rate of SOFR + 2.37%, reducing the weighted-average spread by approximately 104 basis points and extending final maturity to November 2031.
The new $358.0 million loan carries a spread of SOFR + 2.37%, about 104 basis points lower than the two loans it replaces, and pushes final maturity to November 2031, cutting interest costs and refinancing risk for four of the company's seven hotels.
Smaller: the $358.0 million balance came in $42.0 million below the $400.0 million estimate in the company's October 2026 investor presentation.