VANCOUVER, British Columbia, April 20, 2026 (GLOBE NEWSWIRE) — American Hotel Income Properties REIT LP (“AHIP”, or the “Company”) (TSX: HOT.UN, TSX: HOT.U, TSX: HOT.DB. V), today announced it has entered into a settlement agreement (the “Settlement Agreement”) with ONE Lodging Holdings LLC, a subsidiary of Aimbridge Hospitality (the “Master Hotel Manager”), to resolve the previously disclosed dispute between the parties and certain of their respective subsidiaries. The Settlement Agreement achieves AHIP’s objectives of financial relief and a specific end date for the management of AHIP’s portfolio by the Master Hotel Manager.
The Settlement Agreement provides for a reduction in currently deferred termination fees, a reduction in future termination fees and waiver of all deferred management fees. Under the Settlement Agreement, AHIP will make a one-time payment of $2.3 million to the Master Hotel Manager to settle a current liability of $6.2 million in respect of currently deferred termination fees.
The Master Hotel Management Agreement between AHIP and the Master Hotel Manager (the “Master Hotel Management Agreement”) and all individual hotel management agreements between their respective subsidiaries that govern the management of AHIP’s portfolio of properties are to be terminated on January 31, 2027, subject to a three-month extension right which may be exercised by AHIP in advance. Until such date, AHIP’s properties will remain under management by the Master Hotel Manager and its subsidiaries pursuant to the Master Hotel Management Agreement and the individual hotel management agreements under their respective current terms, except as modified by the Settlement Agreement.
For further information, see a copy of the Settlement Agreement which will be filed under AHIP’s profile on SEDAR+ at www.sedarplus.com in due course.
For additional information, please contact:
Investor Relations ir@ahipreit.com
FORWARD-LOOKING INFORMATION
This news release contains forward-looking information within the meaning of applicable securities laws. Forward-looking information generally can be identified by words such as “anticipate”, “believe”, “continue”, “expect”, “estimates”, “intend”, “may”, “outlook”, “objective”, “plans”, “should”, “will” and similar expressions suggesting future outcomes or events. Forward-looking information includes, but is not limited to, statements made or implied relating to the objectives of AHIP, AHIP’s strategies to achieve those objectives and AHIP’s beliefs, plans, estimates, projections and intentions and similar statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Forward-looking information in this news release includes, but is not limited to, statements with respect to: the timing of the termination of the Master Hotel Management Agreement and individual hotel management agreements, and AHIP’s properties remaining under the management of the Master Hotel Manager and its subsidiaries until such date.
Although AHIP believes that the expectations reflected in the forward-looking information contained in this news release are reasonable, AHIP can give no assurance that these expectations will prove to be correct. The estimates and assumptions, which may prove to be incorrect, include, but are not limited to, the assumption that: AHIP will be able to retain a replacement hotel manager on reasonable terms and in accordance with the necessary timing; and no further disputes will arise between the parties prior to the termination of the Master Hotel Management Agreement.
Forward-looking information involves significant risks and uncertainties and should not be read as guarantees of future performance or results as actual results may differ materially from those expressed or implied in such forward-looking information; accordingly, undue reliance should not be placed on such forward-looking information. Those risks and uncertainties include, among other things, risks that: the financial terms of the engagement of any replacement hotel manager cannot be determined at this time and could less advantageous to AHIP than the terms of the Master Hotel Management Agreement and the individual hotel management agreements with the Master Hotel Manager and its subsidiaries; AHIP may suffer operational disruption in the course of any replacement of the Master Hotel Manager and the individual hotel managers, which disruption could be material; and further disputes could arise between AHIP and its subsidiaries and the Master Hotel Manager and its subsidiaries in the future. Additional information about risks and uncertainties is contained in this news release and in AHIP’s most recently filed annual information form and management’s discussion and analysis, copies of which are available on SEDAR+ at www.sedarplus.com.
The forward-looking information contained herein is expressly qualified in its entirety by this cautionary statement. Forward-looking information reflects management’s current beliefs and are based on information currently available to AHIP. The forward-looking information is made as of the date of this news release and AHIP assumes no obligation to update or revise such information to reflect new events or circumstances, except as may be required by applicable law.
