Business Context and Reporting Period
This Form 8-K is filed by Apple REIT Nine, Inc. (a subsidiary of Apple Hospitality REIT, Inc.) for the reporting period ending July 30, 2010. The filing reports the completion of an asset acquisition.
Key Financial Metrics
- Acquisition Cost: $32.9 million aggregate purchase price.
- Assets Acquired: Two Hilton Garden Inn hotels (Lafayette, Louisiana and West Monroe, Louisiana).
- Capacity: 287 total guest rooms.
- Funding Source: Proceeds from the ongoing offering of Units (one common share and one Series A preferred share per Unit).
- Revenue/Profit/Cash Flow: The filing text does not provide specific revenue, profit, or cash flow figures for the acquired assets or the company at this time.
Material Changes
The primary material change is the expansion of the company's portfolio through the acquisition of two hotels on July 30, 2010. The sellers have no material relationship with the registrant other than through the purchase contracts.
Guidance, Outlook, and Risks
- Financial Statements: Financial statements for the acquired businesses and pro forma financial information are not included in this filing. They will be filed as necessary by amendment within the required time period.
- Reference: Additional details regarding the purchase contracts are incorporated by reference from a Form 8-K dated May 28, 2010.
- Risks/Contingencies: No specific risks or contingencies are detailed in this specific filing text beyond standard acquisition disclosures.
Investor Verification Checklist
- Verify the pro forma financial impact of the $32.9 million acquisition once filed.
- Review the May 28, 2010 Form 8-K for detailed purchase contract terms.
- Confirm the status of the ongoing Unit offering used to fund the transaction.
- Monitor future filings for the financial statements of the Lafayette and West Monroe properties.