Innkeepers USA Trust granted approval of $17.5 million DIP loan

By Caroline Salls

Pittsburgh, Sept. 1 - Innkeepers USA Trust received court approval to enter into a $17.5 million debtor-in-possession facility from Lehman ALI Inc. affiliate Solar Finance Inc., according to a Wednesday filing with the U.S. Bankruptcy Court for the Southern District of New York.

The facility will mature in 360 days.

Interest will be Libor plus 500 basis points with a 2% Libor floor.

The company has also secured a commitment for a $53 million second DIP loan from Five Mile Capital II Pooling International LLC.

The terms of the Five Mile facility are the same as under the Solar Finance loan.

Innkeepers USA, a Palm Beach, Fla., hotel real estate investment trust, filed for bankruptcy on July 19. The Chapter 11 case number is 10-13800.

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