Chesapeake buys JW Marriott in San Fran's Union Square for $147M

Chesapeake Lodging Trust has entered into an agreement to acquire the 337-room JW Marriott San Francisco Union Square for a purchase price of $147.2 million, or approximately $437,000 per key.

The REIT expects to assume the existing management agreement with Marriott International as well as the existing ground lease covering the property on which the hotel is located, which expires in 2083. Completion of the proposed acquisition is expected within the next 45 days, subject to satisfaction of customary closing requirements and conditions.

According to the San Francisco Chronicle, hotel sales topped $500 million in the first half of 2014 in the city.

Virtual Event

Hotel Optimization Part 3 | Available On Demand

With 2020 behind us and widespread vaccine distribution on the horizon, the second half of the new year is looking up, but for Q1 (and most likely well into Q2) we’re very much still in the thick of what has undeniably been the lowest point of the pandemic. What can you be doing now to power through and set yourself up for a prosperous 2021 and beyond? Join us at Part 3 of Hotel Optimization – A Virtual Event, now available on demand, for expert panels focused on getting you back to profitability.

In addition to the acquisition news, Chesapeake also reportedly has sold the 153-room Courtyard Anaheim at Disneyland Resort located in Anaheim, Calif., for $32.5 million, or approximately $212,000 per key.