Tyler Batory

Dori Kesten

John Massocca

Meredith Prichard Jensen

Bryan Maher

Jack Armstrong

Jackson Armstrong

Jonathan Jenkins

- Service Properties Trust (SVC) completed the sale of **three hotels** for **$26.5 million** and **eight hotels** for **$20.3 million** on **September 18, 2025**.  **[945394_0000945394-25-000072_exhibit991.htm:0]** **[945394_0000945394-25-000072_exhibit992.htm:0]** **[945394_0000945394-25-000072_svc-20250918.htm:1]** 
- These sales are part of a larger agreement to sell **113 hotels** with a total of 14,803 keys for a combined **$913.3 million**.  **[945394_0000945394-25-000072_svc-20250918.htm:1]** 
- To date, SVC has sold **20 hotels** from this portfolio, totaling 2,767 keys, for a combined **$135.7 million**, excluding closing costs.  **[945394_0000945394-25-000072_svc-20250918.htm:1]** 
- SVC remains under agreement to sell **93 additional hotels** with 12,036 keys for **$777.6 million**, with these sales expected to be completed by the **end of 2025**.  **[945394_0000945394-25-000072_svc-20250918.htm:1]** 
- The proceeds from these sales are anticipated to be used to **repay debt**, including a portion of outstanding borrowings under its revolving credit facility.  **[945394_0000945394-25-000072_svc-20250918.htm:1]**

Service Properties Trust announces significant hotel dispositions

- Service Properties Trust (SVC) completed a private offering of **$580,155,000** in aggregate principal amount at maturity of **zero coupon senior secured notes due 2027** on **September 23, 2025**.  **[945394_0001104659-25-092764_tm2526693d1_8k.htm:1]** **[945394_0001104659-25-092764_tm2526693d1_ex4-1.htm:2]** 
- The offering generated approximately **$490.0 million in net proceeds**, which the company intends to use to **redeem all outstanding 4.750% senior notes due 2026** and to **reduce amounts outstanding under its revolving credit facility**.  **[945394_0001104659-25-092764_tm2526693d1_8k.htm:1]** 
- The Notes have an **initial accreted value of $861.84 per $1,000 principal amount at maturity** and will accrete at a rate of **7.50% per annum compounded semiannually** until the **September 30, 2027** maturity date.  **[945394_0001104659-25-092764_tm2526693d1_8k.htm:1]** 
- SVC has a **one-time option to extend the maturity date by one year to September 30, 2028**, during which cash interest would accrue at an initial rate of **7.50% per annum**.  **[945394_0001104659-25-092764_tm2526693d1_8k.htm:1]** 
- The Notes are **fully and unconditionally guaranteed** by certain subsidiaries and are **secured by first-priority liens on the equity interests of the TA Landlord Subsidiaries**.  **[945394_0001104659-25-092764_tm2526693d1_8k.htm:1]**

Service Properties Trust Completes Private Offering of Senior Secured Notes

- Service Properties Trust (SVC) entered into a new management agreement with **Sonesta International Hotels Corporation** for **59** of its retained hotels, effective **August 1, 2025**.  **[945394_0001104659-25-086013_tm2524729d1_8k.htm:1]** 
- The agreement has an initial **15-year term** expiring on **July 31, 2040**, and includes a base management fee of **3.0% of gross revenues** for full service hotels and **5.0%** for extended stay and select service hotels.  **[945394_0001104659-25-086013_tm2524729d1_8k.htm:1]** **[945394_0001104659-25-086013_tm2524729d1_ex10-1.htm:37]** 
- Additionally, the agreement provides for an incentive fee equal to **20% of EBITDA** in excess of the incentive threshold, commencing with the **2026 calendar year**.  **[945394_0001104659-25-086013_tm2524729d1_8k.htm:1]** **[945394_0001104659-25-086013_tm2524729d1_ex10-1.htm:37]** 
- Service Properties Trust is required to fund capital expenditures and maintain minimum working capital, such as **$2,000 per guestroom** for full service hotels.  **[945394_0001104659-25-086013_tm2524729d1_8k.htm:1]** **[945394_0001104659-25-086013_tm2524729d1_ex10-1.htm:15]** 
- As of **August 29, 2025**, SVC has sold **10** of the **122** previously identified hotels for disposition, with agreements to sell **111** more and one still being marketed.  **[945394_0001104659-25-086013_tm2524729d1_8k.htm:1]**