Sunstone Hotel Sells Hyatt Regency San Francisco for $279M
Sunstone Hotel (SHO) announced that it has entered into a definitive agreement to sell the 821-room Hyatt (H) Regency San Francisco to funds affiliated with Blackstone (BX) Real Estate for a gross sale price of $279M, or approximately $340,000 per key. The sale price represents a 21.4x multiple on Hotel Adjusted EBITDA and a 3.5% cap rate on Hotel Net Operating Income for the trailing twelve-month period ending May 31. The company expects the transaction to close in late July or early August and will provide additional details regarding the disposition, including the expected impact on the company's full year outlook, as part of its upcoming quarterly earnings release in early August.
