TKO Makes $2B Offer for Service Properties Trust’s Hotel Portfolio

Hospitality investment firm TKO LLC has made an unsolicited offer to acquire the hotel portfolio of Service Properties Trust (SVC) for $2 billion in cash. SVC has said it will study the proposal, noting that it had no prior contact from TKO.

For its part, TKO said the acquisition would provide SVC with immediate liquidity while enabling the company to focus on its net lease retail platform. SVC’s hotel platform includes 93 properties totaling 21,110 keys, with a mix of full-service, select-service and extended-stay assets.

“We have tremendous conviction in the long-term value of SVC’s hotel portfolio and believe TKO is uniquely positioned to unlock its full potential,” said Jim Koehler, CEO of TKO. “This acquisition represents a transformational opportunity for our firm. SVC has assembled an exceptional collection of hospitality assets across prime markets, and we are prepared to move swiftly and decisively to bring this transaction to fruition.”

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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