NORFOLK, NE -- (Marketwire) -- 04/23/12 -- Supertel Hospitality, Inc. (NASDAQ: SPPR), a real estate investment trust (REIT) which currently owns 97 hotels in 23 states, today announced that it closed on the sale of a 49 room Super 8 hotel in El Dorado, Kansas on April 20, 2012, at a sale price of $1.625 million. The hotel was developed by Supertel in January 1992 and was no longer classified as a core asset of the company, primarily due to size and age. The associated mortgage debt of $840,000 was fully retired with excess proceeds being applied to general corporate purposes.
"With the sale of the El Dorado, Kansas Super 8 hotel, we make yet another step in our plan to divest ourselves of non-strategic assets and shift our portfolio in favor of premium-branded, select-service properties," said Kelly A. Walters, Supertel president and chief executive officer. "This property was developed by the original Supertel founders and it served us well for the past twenty years, but given that it is an economy hotel in a small market with just 49 rooms, the asset no longer fits our investment strategy."
The sale of the El Dorado Super 8 marks the third non-core hotel sold by the company year to date.
About Supertel Hospitality, Inc.
Supertel Hospitality, Inc. (NASDAQ: SPPR) is a self-administered real estate investment trust that specializes in the ownership of select-service hotels. The company currently owns 97 hotels comprising 8,573 rooms in 23 states. Supertel's hotels are franchised by a number of the industry's most well-regarded brand families, including Hilton, IHG, Choice and Wyndham. For more information or to make a hotel reservation, visit www.supertelinc.com.
Certain matters within this press release are discussed using forward-looking language as specified in the Private Securities Litigation Reform Act of 1995, and, as such, may involve known and unknown risks, uncertainties and other factors that may cause the actual results or performance to differ from those projected in the forward-looking statement. These risks are discussed in the company's filings with the Securities and Exchange Commission.