Canadian owner and operator Fortis Inc. has signed a deal to sell the hotel assets of subsidiary Fortis Properties Corp. to an as-yet unidentified private investor group for $365 million as the company moves to focus on its core utilities business.
Insiders say that the transaction, involving 22 hotels in seven Canadian provinces, is expected to close in the fall.
The sale of Fortis Properties’ commercial real estate portfolio for $430 million was completed last week.
“The disposition of these hotel and real estate assets is consistent with the corporation’s focus on its core utility business,” president and CEO Barry Perry told CanadianBusiness.com. “Post closing of the hotel transaction, virtually all of the corporation’s assets will be comprised of regulated utilities and long-term contracted energy infrastructure.”