Material Event Form 8 K

Item 8.01 Other Events.

Payment of Distributions

On October 30, 2024, the board of directors (the "Board") of Procaccianti Hotel REIT, Inc. (the "Company") (i) authorized the payment of distributions out of legally available funds with respect to each share of Class K common stock ("K Share"), Class K-I common stock ("K-I Share") and Class K-T common stock ("K-T Share") outstanding as of September 30, 2024 (the "Common Stock Distributions") to the holders of record of K Shares, K-I Shares and K-T Shares and (ii) on behalf of the Company as the general partner of Procaccianti Hotel REIT, L.P., the Company's operating partnership (the "Operating Partnership"), authorized distributions out of legally available funds (the "Class K OP Unit Distributions") with respect to each unit of Class K limited partnership interest in the Operating Partnership (the "Class K OP Units") held by individuals with direct or indirect interests in the seller of the Hilton Garden Inn hotel property (the "Property") who are direct or indirect owners of Procaccianti Companies, Inc., the sponsor of the Company, and Procaccianti Hotel Advisors, LLC, the external advisor to the Company (the "Affiliate Sellers").

Common Stock Distributions

With respect to the K Shares, K-I Shares and K-T Shares outstanding as of and during the quarter ended September 30, 2024, the cumulative amount of distributions that had accrued on a daily basis with respect to each K Share, K-I Share and K-T Share outstanding since June 30, 2024, was $685,731, $244,012, and $1, respectively (the "K Share Accrual," the "K-I Share Accrual" and the "K-T Share Accrual," respectively), or $0.0019125683 per K Share per day, $0.0019125683 per K-I Share per day, and $0.0019125683 per K-T Share per day, which reflects an accrual rate of seven percent per annum for each share class under the Company's charter. The Board authorized the payment of distributions in an aggregate amount equal to the K Share Accrual, K-I Share Accrual and K-T Share Accrual.

Class K OP Unit Distributions

With respect to the Class K OP Units held by the Affiliate Sellers of the Property that were outstanding as of and during the quarter ended September 30, 2024, the cumulative amount of distributions that had accrued on a daily basis with respect to each Class K OP Unit for the period commencing with the date of issuance of Class K OP Units through June 30, 2024, was $22,544 (the "Class K OP Unit Accrual"), or $0.0019125683 per Class K OP Unit per day, which reflects an accrual rate of seven percent per annum. The Board authorized the payment of distributions in an aggregate amount equal to the Class K OP Unit Accrual.