Subsequent Events

12 Months Ended

Dec. 31, 2014

Subsequent Events [Abstract]

Subsequent Events

Note 18. Subsequent Events

On January 15, 2015, the Company sold a Super 8 in West Plains, Missouri (49 rooms) for gross sale proceeds of $1.5 million. Net proceeds were used to pay off the associated loan with Great Western Bank.

On January 29, 2015, the Company sold a Super 8 in Green Bay, Wisconsin (83 rooms) for gross sale proceeds of $2.2 million.  Net proceeds were used to pay off the associated debt with GE and reducethe balance of the revolving credit facility with Great Western Bank.

On February 17, 2015, the maturity date of the Company’s $10.7 million GE loan was extended to December 15, 2015.

The Company is in negotiations with all of the hotel management companies on the renewal of their hotel management agreements with TRS Lessee.  The current contracts expire on either May 24, 2015 or May 31, 2015.  The Company expects to have new contracts in place before the current contracts expire.

On March 3, 2015, J. William Blackham joined the Company as Chief Executive Officer, replacing Kelly A. Walters. He was also appointed to the Supertel Board of Directors. On March 11, 2015, Mr. Blackham purchased 227,894 shares of newly issued common stock at a purchase price of $1.52 per share pursuant to a warrant issued when he joined the Company.

On March 16, 2015, the Company sold a Super 8 in Columbus, Georgia (74 rooms) for gross sale proceeds of $0.9 million. Net proceeds were used to pay off the associated loan with GE.

On March 19, 2015, the Company sold a Sleep Inn in Omaha, Nebraska (90 rooms) for gross sale proceeds of $2.9 million. Net proceeds were used to pay off the associated loan with Elkhorn Valley Bank.