UPDATE: KeyBanc Initiates RLJ Lodging Trust at Hold

KeyBanc is out with its report today on RLJ Lodging Trust (NYSE: RLJ), initiating RLJ at Hold.

In a note to clients, KeyBanc writes, "We are initiating coverage with a HOLD rating on the limited service and compact full-service focused lodging REIT, RLJ Lodging Trust. RLJ raised gross proceeds of approximately $568 million through the sale of 31.6 million shares in its May 2011 IPO and overallotment option. The IPO proceeds were used to extinguish existing debt, pay transaction costs, and for capital improvements. RLJ has a strong, geographically diverse portfolio of 140 hotels located in 19 states and will leverage its deep industry relationships, and new $300 million unsecured revolving credit facility, to acquire additional hotel assets over the next 18-24 months."

Shares of RLJ closed Monday at $17.85, up 1.83% from Friday's close.