Chatham Lodging Increases Dividend 10 Percent

WEST PALM BEACH, Fla.--(BUSINESS WIRE)--

Chatham Lodging Trust CLDT, a hotel real estate investment trust (REIT) focused on investing in upscale, extended-stay hotels and premium-branded, select-service hotels, today announced that its Board of Trustees has raised its regular monthly dividend by 10 percent, or $0.01 per common share, to $0.11 per share.

"We have raised our dividend each year since our 2010 IPO, from $0.35 in 2010 to $1.30 per share for 2016, furthering our commitment to increase our dividend in tandem with our growth in cash flow, EBITDA and adjusted FFO per share," highlighted Dennis Craven, Chatham's chief operating officer. "The quality of the acquisitions we made in 2015, the soundness of our balance sheet and the prospect for continued earnings growth gave our board the confidence to reward our investors with yet another increase. Excluding the special dividend of $0.08 per common share which was due to the sale of a joint venture interest in 2015, our 2016 dividend per share of $1.30 will represent approximately 52 percent of adjusted FFO per share based on the midpoint of our guidance, so the increase is healthy, supportable and prudent."

Chatham's Board declared the company's monthly common share dividend of $0.11 for March 2016, reflecting the 10 percent increase. The common share dividend is payable April 29, 2016, to shareholders of record on March 31, 2016. The annualized dividend of $1.32 per common share represents a dividend yield of 6.6 percent, based on the company's common share closing price of $20.06 on February 29, 2016.

About Chatham Lodging Trust

Chatham Lodging Trust is a self-advised, publicly-traded real estate investment trust focused primarily on investing in upscale extended-stay hotels and premium-branded, select-service hotels. The company owns interests in 133 hotels totaling 18,176 rooms/suites, comprised of 38 properties it wholly owns with an aggregate of 5,678 rooms/suites in 15 states and the District of Columbia and a minority investment in two joint ventures that own 95 hotels with an aggregate of 12,498 rooms/suites. Additional information about Chatham may be found at chathamlodgingtrust.com.

This press release may contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 about Chatham Lodging Trust, including those statements regarding acquisitions, capital expenditures, future operating results and the timing and composition of revenues, among others, and statements containing words such as "expects," "believes" or "will," which indicate that those statements are forward-looking. Except for historical information, the matters discussed in this press release are forward-looking statements that are subject to certain risks and uncertainties that could cause the actual results or performance to differ materially from those discussed in such statements. Additional risks are discussed in the company's filings with the Securities and Exchange Commission.

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