Sotherly Hotels Reports Material Agreement Termination
Ticker: SOHON · Form: 8-K · Filed: Nov 14, 2025 · CIK: 1301236
| Field | Detail |
|---|---|
| Company | Sotherly Hotels INC. (SOHON) |
| Form Type | 8-K |
| Filed Date | Nov 14, 2025 |
| Risk Level | medium |
| Pages | 3 |
| Reading Time | 4 min |
| Key Dollar Amounts | $0.01, $17.75 million, $49.3 million |
| Sentiment | neutral |
Sentiment: neutral
Topics: agreement-termination, financial-obligation
TL;DR
Sotherly Hotels terminated a key deal, triggering financial obligations.
AI Summary
Sotherly Hotels Inc. filed an 8-K on November 14, 2025, to report the termination of a material definitive agreement and triggering events that accelerate or increase financial obligations. The filing pertains to events that occurred on November 12, 2025, but no specific dollar amounts or names of counterparties were disclosed in the provided text.
Why It Matters
This filing indicates a significant change in Sotherly Hotels' contractual relationships, potentially impacting its financial obligations and operational agreements.
Risk Assessment
Risk Level: medium — Termination of material agreements and acceleration of financial obligations can signal financial distress or significant operational changes.
Key Players & Entities
- Sotherly Hotels Inc. (company) — Filer
- SOTHERLY HOTELS LP (company) — Filer
- 20251114 (date) — Filing Date
- 20251112 (date) — Event Date
FAQ
What specific material definitive agreement was terminated by Sotherly Hotels Inc.?
The provided text does not specify the name or details of the material definitive agreement that was terminated.
What are the specific financial obligations that have been accelerated or increased due to the triggering events?
The filing indicates that triggering events have accelerated or increased financial obligations, but the exact amounts and nature of these obligations are not detailed in the provided text.
Who are the counterparties involved in the terminated material definitive agreement?
The filing does not disclose the names of the parties involved in the terminated agreement.
What is the reason for the termination of the material definitive agreement?
The provided text does not state the reason for the termination of the agreement.
When did the triggering events that accelerate or increase financial obligations occur?
The triggering events occurred on November 12, 2025.
Filing Stats: 1,027 words · 4 min read · ~3 pages · Grade level 12.8 · Accepted 2025-11-14 12:37:10
Key Financial Figures
- $0.01 — nge on which registered Common Stock, $0.01 par value SOHO The Nasdaq Stock Mar
- $17.75 million — bility company, for a purchase price of $17.75 million. The closing of the transactions cont
- $49.3 million — of November 12, 2025, is approximately $49.3 million. The Company has engaged a consultant
Filing Documents
- soho-20251112.htm (8-K) — 77KB
- 0001193125-25-282339.txt ( ) — 257KB
- soho-20251112.xsd (EX-101.SCH) — 63KB
- soho-20251112_htm.xml (XML) — 12KB
02 Termination of a Material Definitive Agreement
Item 1.02 Termination of a Material Definitive Agreement. As previously disclosed in a Current Report on Form 8-K filed on July 30, 2025, SOHO Atlanta, LLC (the "Seller"), a Delaware limited liability company and an affiliate of Sotherly Hotels Inc., a Maryland corporation (the "Company") and the sole general partner of Sotherly Hotels LP, a Delaware limited partnership, entered into a sale, purchase and escrow agreement (the "Agreement") on July 24, 2025 to sell a portion of its real estate containing the parking garage, associated with the Georgian Terrace hotel, located in Atlanta, Georgia, to Banyan Street Capital LLC (the "Buyer"), a Delaware limited liability company, for a purchase price of $17.75 million. The closing of the transactions contemplated by the Agreement was subject to various contingencies, including Buyer's investigation period, as extended, during which period Buyer was entitled to terminate the Agreement for any reason. On November 13, 2025, Buyer sent a notice that it was terminating the Agreement pursuant to such termination right. Item 2.04 Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement. On September 28, 2015, certain subsidiaries of the Company entered into a promissory note, loan agreement, and other loan documents to secure a mortgage (the "Mortgage Loan") on the DoubleTree Resort by Hilton Hollywood Beach hotel with Bank of America, N.A. On November 12, 2025, the Company received a Notice of Default (the "Notice") from the special servicer for the Mortgage Loan. The Notice provides that the Company's subsidiaries, Hollywood Hotel Associates LLC and Hollywood Hotel Associates Lessee LLC, are in default under the note and the loan documents by virtue of, among other things, their failure to pay all amounts when due thereunder, and that the current lender, Wilmington Trust, National Association, as Trustee, will take all such actions as it deems
Forward-Looking Statements
Forward-Looking Statements This Current Report on Form 8-K contains forward-looking statements which can be identified by words such as: "may," "will," "intend," "plan," "continue" and similar references to future periods. All statements, other than statements of historical fact, may be forward-looking statements. They are based on current expectations and projections about future events and are therefore subject to risks and uncertainties, which could cause actual results to differ materially from the future results expressed or implied by the forward-looking statements. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations. Therefore, you should not rely on any of these forward-looking statements. Except as required by law, the Company does not assume any obligation to update the forward-looking information contained in this Current Report on Form 8-K.
SIGNATURES
SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrants have duly caused this report to be signed on their behalf by the undersigned hereunto duly authorized. Date: November 14, 2025 SOTHERLY HOTELS INC. By: /s/ Anthony E. Domalski Anthony E. Domalski Chief Financial Officer SOTHERLY HOTELS LP by its General Partner, SOTHERLY HOTELS INC. By: /s/ Anthony E. Domalski Anthony E. Domalski Chief Financial Officer