What is the maturity date for the line of credit facility due from affiliate for Atwell Suites?
Atwell_Suites Franchise · 2025 FDDAnswer from 2025 FDD Document
flected in franchise royalty fees (see Note 3). All amounts due to or from affiliates, other than a line of credit from an affiliate (see Note 5), are non-interest-bearing and have no stated maturity date.
Net payables to affiliates included in the balance sheets are $202.6 million and $148.7 million at December 31, 2024 and 2023, respectively. These current amounts are of a working capital nature. Receivables from affiliates are considered to be fully recoverable on the basis of the Group's creditworthiness (see Note 5).
An affiliated company has made commitments to pay key money on behalf of the Company. During the years ended December 31, 2024, 2023 and 2022, contract assets, net of disposals, totaling $40.3 million, $24.9 million and $33.0 million, res
Source: Item 23 — Receipts (FDD pages 99–486)
What This Means (2025 FDD)
According to Atwell Suites's 2025 Franchise Disclosure Document, the line of credit facility from an affiliate has a maturity date. The line of credit facility is currently $1.0 billion and is due on March 31, 2027. The credit line accrues interest at the IRS applicable federal interest rate compounded monthly.
As of December 31, 2024, $770.6 million remained receivable from Six Continents Hotels, Inc., and as of December 31, 2023, $702.1 million remained receivable. These amounts include interest receivable. During the years ended December 31, 2024, 2023 and 2022, $29.6 million, $27.8 million and $13.3 million, respectively, were recognized as interest income on the line of credit.
There were no related fees and costs incurred on the line of credit in any of the years. On the maturity date of March 31, 2027, the entire outstanding principal balance, together with all accrued and unpaid interest, are due and payable in full.