RLJ Lodging Trust has closed on the sale of a portfolio of 11 hotels for approximately $85 million. The sale price represents approximately a 7.9-percent capitalization rate on the portfolio's estimated 2013 net operating income, adjusted for approximately $23 million of pending capital expenditures.
"This transaction enabled us to make significant progress on our capital recycling program," said Thomas J. Baltimore, Jr., president and CEO. "The sale of these assets are immediately accretive to our portfolio's RevPAR and the net proceeds will be reinvested into higher-yielding hotels, such as our recently announced Hyatt deal. We are very pleased by the demand we saw while marketing these assets and we remain committed to expanding our capital recycling program."
The estimated combined 2013 revenue per available room portfolio was approximately $68.
The 11 hotels totaling 1,205 rooms were: Hyatt House Colorado Springs; Courtyard Denver Southwest Lakewood; Residence Inn Denver Southwest Lakewood; SpringHill Suites Gainesville; Residence Inn Indianapolis Airport; Fairfield Inn & Suites Indianapolis Airport; Courtyard Grand Rapids Airport; Hampton Inn & Suites Las Vegas / Summerlin; Courtyard Austin University Area; Fairfield Inn & Suites Austin University Area; Hyatt House Dallas Richardson.