Moody National REIT II Moves Toward Liquidation

The company plans to sell its Hampton Inn Philadelphia property as part of its broader liquidation strategy.

October 03, 2025

Execution Begins on Liquidation Strategy

Moody National REIT II is taking firm steps toward winding down operations. Following a recent shareholder meeting and a signed agreement to sell a key hotel property, the company is executing on a defined plan to liquidate.

On September 26, 2025, subsidiaries of the REIT entered into a purchase agreement with BNS Associates, LLC—a third party not affiliated with the company. Under this agreement, Moody National REIT II plans to sell the Hampton Inn Philadelphia in Frazer, Pennsylvania for $10.4 million, pending standard adjustments. The closing is targeted for December 15, 2025, though it remains subject to customary conditions. The transaction supports the company’s broader initiative to convert real estate holdings into cash as part of its liquidation.

That plan received shareholder approval just a few days later. On September 30, investors representing 55% of eligible shares participated in the company’s annual meeting. The proposal for complete liquidation and dissolution passed with more than 6.9 million votes in favor. With this approval in place, the company now has the backing it needs to move forward with asset sales, final accounting, and future distributions.

Board Re-elections and Auditor Ratification

Also on the agenda: director elections. Shareholders re-elected five board members— Brett C. Moody, Charles L. Horn, Clifford P. McDaniel, William H. Armstrong, and John P. Thompson. Each received more than 6.7 million votes in support and will continue serving through the next annual meeting.

The company’s choice of independent auditor was also ratified. Shareholders approved Frazier & Deeter, LLC to serve as the registered public accounting firm for the fiscal year ending December 31, 2025. The vote passed with roughly 7 million votes in favor.

Meeting Adjournment Option Approved but Unused

One final item—the option to adjourn the meeting to allow time for additional votes if needed—was approved but not used. With all proposals resolved during the session, the meeting wrapped without delay.

With the shareholder vote secured and the first asset sale in progress, Moody National REIT II is now actively working through its wind-down. The next steps will focus on executing sales, settling accounts, and distributing proceeds—bringing the company closer to completing its liquidation plan.