Sunstone Hotel Investors, Inc. (NYSE: SHO) today announced the sale of the 289-room Marriott Philadelphia and the 464-room Marriott Quincy for a combined gross sale price of $139.0 million, or approximately $184,600 per key.
The sale price represents a 10.3x multiple on combined 2017 Hotel Adjusted EBITDA of $13.5 million and an 8.3% capitalization rate on combined 2017 Hotel Net Operating Income and excludes approximately $12 million of brand required capital expenditures. The disposition of these two hotels furthers the Company’s stated strategy of concentrating its portfolio in long-term relevant real estate.
Sunstone Hotel Investors, Inc. is a lodging real estate investment trust (“REIT”) that as of the date herein has interests in 25 hotels comprised of 12,450 rooms. Sunstone’s hotels are primarily in the urban and resort, upper upscale segment and are operated under nationally recognized brands, such as Marriott, Hilton and Hyatt.