LuxUrban Hotels—which utilizes an asset-light business model to lease entire hotels on a long-term basis and rent out hotel rooms in these properties in key major metropolitan cities—has set a opening for The Royalton by LuxUrban, Trademark Collection by Wyndham in New York City. The property is expected to open on or before Jan. 30.
The company also completed its 2024 Capital Plan. In combination with recent warrant proceeds of approximately $4 million, gross proceeds of approximately $7 million raised via the previously announced underwritten public offering of the company’s 13 percent Series A Cumulative Redeemable Preferred Stock, and an enhanced key money financing program with Wyndham Hotels & Resorts, the company intends to accelerate growth by means of these initiatives. Although the company will continue to evaluate market conditions and opportunities, it has no current plans for any additional equity or debt financings not previously disclosed.
The company is pursuing a "robust" opportunity pipeline and expects to imminently announce additional large-scale Master Lease Agreements for hotel properties that are scheduled to open during the first quarter of 2024. The company expects to have approximately 3,500-4,000 hotel rooms available for rent under long-term MLA by the end of the first quarter of 2024 and approximately 6,000 hotel rooms available for rent under MLA by June 30.