Park Hotels & Resorts Executes Definitive Contracts to Sell Two San Francisco Hotels

Park Hotels & Resorts | July 13, 2021

TYSONS, VA - July 13, 2021 - Park Hotels & Resorts Inc. today announced that it has entered into two separate, definitive contracts to sell the 360-room Le Meridien San Francisco and the 171-room Hotel Adagio, Autograph Collection (San Francisco, CA) for total proceeds of $303.5 million, or an average sale price of approximately $572,000 per key. When adjusted for Park’s anticipated capital expenditures (“capex”), the blended sale price represents a 6.1% capitalization rate on 2019 net operating income (6.7% excluding capex), or 14.4x 2019 EBITDA (13.2x excluding capex). Management currently expects each of the transactions to close...