PALM BEACH, FL-Chatham Lodging Trust is putting a joint venture hotel portfolio on the sale block. The upscale extended-stay and premium brand select-service hotel REIT just announced that the Chatham/Cerberus joint venture is offering the 51-hotel, 6,847 room Innkeepers portfolio.

“Having owned or operated the portfolio for quite some time, we know these hotels very well, its results are very strong, and with industry experts projecting attractive growth in the future, we would expect the portfolio to continue to produce great results,” says Jeffrey H. Fisher, CEO of Chatham. “The joint venture has already returned 92% of our original capital investment, so if a sale occurs, the potential value that may accrue to Chatham because of our promote interest could be meaningful.”

Eastdil Secured is exclusive advisor for the offering. The hotel portfolio is being offered unencumbered by management contracts and has a $950-million interest-only loan in place with a floating interest rate of LIBOR + 4.8% that is assumable subject to certain conditions.