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| Jeffrey H. Fisher |
WEST PALM BEACH, FL —Chatham Lodging Trust (NYSE: CLDT), a hotel real estate investment trust (REIT) focused on investing in upscale, extended-stay hotels and premium-branded, select-service hotels, announced the closing of the sales of four hotels comprising 537 rooms for aggregate proceeds of approximately $80 million.
Including near term capital expenditure requirements, the aggregate sales proceeds would equate to an approximate 2 and 6 percent capitalization rate on net operating income for 2021 and 2019, respectively. The four hotels comprise the following:
- 180-room Hilton Garden Inn, Burlington, Massachusetts
- 100-room Courtyard by Marriott Houston West University
- 120-room Residence Inn by Marriott Houston West University
- 137-room Homewood Suites by Hilton Dallas Market Center
 |
|
| Burlington |
| CY West U |
| RI West U |
| HW Dallas |
|
Year Built | 1975 |
| 2004 |
| 2004 |
| 1998 |
|
2021 RevPAR | $31 |
| $60 |
| $64 |
| $80 |
|
2019 RevPAR | $110 |
| $94 |
| $85 |
| $97 |
|
CAPEX (2022-2023) | ~$7mm |
| ~$4mm |
| <$1mm |
| <$1mm |
|
“We want to recycle capital out of older assets into newer hotels with higher growth prospects. The sale of these four hotels is a giant step towards reducing the average age of our portfolio and providing ample liquidity for future growth,” highlighted Jeffrey H. Fisher, Chatham’s president and chief executive officer.
“These are home-run transactions. We have emerged from the pandemic with a stronger balance sheet and have the capacity to make value-enhancing acquisitions and generate incremental distributable cash flow,” Fisher concluded.
Contacts:
Dennis Craven (Company)
Chief Operating Office
(561) 227-1386
Chris Daly (Media)
DG Public Relations
(703) 864-5553
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