MHI Hospitality Corporation Extends Mortgage on Crowne Plaza Jacksonville Riverfont

WILLIAMSBURG, Va.--(BUSINESS WIRE)--MHI Hospitality Corporation (NASDAQ: MDH) (the “Company”) announced today that the Company has extended the maturity date of the mortgage on its Crowne Plaza Jacksonville Riverfront Hotel until January 22, 2013. The mortgage is held by PNC Bank, National Association, in its capacity as trustee of the AFL-CIO Building Investment Trust (the “Lender”). As part of the agreement, the Company will pay down the principal balance by $4.0 million to $14.0 million and the Lender has waived certain covenants requiring borrower to further pay down principal under certain circumstances. The loan will remain interest-only at a fixed interest rate of 8.0%.