Ritz-Carlton Lake Tahoe Braemar Hotels Deal is expected to close on or before Jan. 15, 2019.
Braemar Hotels & Resorts (NYSE:BHR) agrees to buy the 170-room Ritz-Carlton Lake Tahoe in Truckee, CA, for about $120M.
BHR expects to realize a stabilized yield of about 8.5% on its investment.
Included in the deal is a 3.4-acre plot of vacant land adjacent to the hotel that is being entitled for luxury residential townhome development.
Hotel had RevPAR of $372.35 for the 12 months ended Sept. 30, 2018; purchase price of $103.4M for the hotel represents $608,000 per key, a trailing 12-month (as of Sept. 30, 2018) capitalization rate of 5.8% on hotel net operating income of $6.0M, and a trailing 12-month 13.5x hotel EBITDA multiple, according to preliminary estimates based on unaudited operating financial data provided by sellers.