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HALIFAX, April 2, 2014 /CNW/ - Holloway Lodging Corporation (TSX: HLC) ("Holloway") is pleased to announce that it has sold the Holiday Inn Express® hotel located in Kamloops, BC. Holloway realized cash proceeds from the sale of $8.9 million, representing a cap rate of approximately 7.6%.
Michael Rapps, Chairman of Holloway, stated "Holloway achieved good value in this hotel sale, especially in light of significant new hotel room supply that will be entering the Kamloops market. We are currently evaluating several acquisition opportunities and we anticipate deploying the proceeds from this hotel sale to one or more acquisitions at more attractive valuations."
ABOUT HOLLOWAY LODGING CORPORATION
Holloway is a real estate corporation focused on acquiring, owning and operating select and limited service lodging properties and a small complement of full service hotels primarily in secondary, tertiary and suburban markets. Holloway owns 17 hotels with 1,718 rooms. Holloway's shares trade on the TSX under the symbol HLC.
This press release contains forward-looking information within the meaning of applicable securities laws. Forward-looking information may relate to Holloway's future outlook and anticipated events or results and may include statements regarding Holloway's future financial position, business strategy, financial results, plans and objectives. In some cases, forward-looking information can be identified by terms such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "predict", "potential", "continue" or other similar expressions concerning matters that are not historical facts. Forward-looking information is subject to certain factors, including risks and uncertainties, that could cause actual results to differ materially from what Holloway currently expects and there can be no assurance that such statements will prove to be accurate. Some of these risks and uncertainties are described under "Risk Factors" in Holloway's annual information form for the year ended December 31, 2013 which is available on Holloway's profile on the SEDAR website at www.sedar.com. Holloway does not intend to update or revise any such forward-looking information should its assumptions and estimates change.
SOURCE Holloway Lodging Corporation
For further information please contact Michael Rapps, Chairman, at (416) 855-1925 or Jane Rafuse, Chief Financial Officer, at (902) 443-5101.Copyright CNW Group 2014