The 301-room Andaz Maui is amongst a trio of resort hotels under contract to be acquired by Host Hotels & & Resort in a $1 billion transaction.
credit: Hyatt Hotels Corp.Bethesda, MD-based
Host Hotels & Resorts, Inc. (NYSE: & HST) revealed an arrangement to buy the 301-room Andaz Maui in Wailea, Hey There; the 668-room Grand Hyatt San Francisco in the city’s Union Square district and the 454-room Hyatt Regency Coconut Point in Bonita Springs, FL for $1 billion.
Host Hotels posted a $25 million deposit in contracting to acquire the three residential or commercial properties, according to Host Hotels President and CEO James Risoleo, who announced the transaction Wednesday afternoon in the company’s fourth-quarter and full-year 2017 earnings report.
“These possessions are fee-simple and situated in what the company believes are some of the leading growth markets in the United States, consisting of Maui and San Francisco, which are taking advantage of strong accommodations need and restricted supply development,” Risoleo said.
Host Hotels currently owns 10 Hyatt homes. Hyatt will continue to manage the hotels post-sale.
Host Hotels likewise revealed on Wednesday it closed the $190 million sale of the Secret Bridge Marriott in Arlington, VA, on Jan. 9 and is under agreement to sell the W New York for $190 million in a separate deal anticipated to close in the second quarter. Capstone Equities and Highgate are reported to be the unofficial purchasers.
Host Hotels reported fourth-quarter revenues of $0.42 per share on profits of $1.34 billion. For the year, HST reported $5.39 billion in incomes, about 0.8% below 2016
“By opportunistically generating income from a terrific piece of property in Washington, D.C. and reducing our direct exposure in New york city, we are using essential pillars of our modified strategy that our company believe will develop additional worth for stockholders gradually,” Risoleo stated in a release.