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Park Hotels & Resorts Releases Hilton Miami Airport Blue Lagoon for $118M
McLean, VA-based Park Hotels & Resorts, Inc., a publicly traded lodging real estate investment trust, has sold the 508-room Hilton Miami Airport Blue Lagoon located in Miami, FL for $118.3 million ($233,000 per key).
MCR acquired the asset.
When adjusted for Park Hotels & Resorts Inc.’s anticipated capital expenditures, the sale price represents a 6.2% capitalization rate on 2019 net operating income (7.9% excluding capex), or 14.0x 2019 EBITDA (11.1x excluding capex). Proceeds from the sale will be used to pay off the outstanding $50 million revolver balance and for general corporate purposes.
“Over the last twelve months, Park has sold eight hotels for over $435 million, with proceeds used to pay down debt and buy back common stock at a significant discount to NAV,” said Thomas J. Baltimore, Jr., chairman and CEO of Park Hotels & Resorts, Inc. “With $1.9 billion of liquidity, Park is well-positioned to pivot between offense and defense depending on market conditions, while opportunistically taking advantage of the on-going dislocation between public and private valuations.”
Park Hotels & Resorts, Inc.’s portfolio currently consists of 46 premium-branded hotels and resorts with over 29,000 rooms primarily located in prime city center and resort locations.
- ◦Sale/Acquisition
