Ashford Hospitality sells six hotels

Ashford Hospitality (AHT) has closed on the sale of four hotels and has entered into definitive agreements to sell an additional two hotels. These six transactions are part of the company’s ongoing strategy to optimize its portfolio through strategic asset sales. The majority of proceeds will be used to pay down mortgage debt, and together, these sales are expected to result in more than $60M in future capital expenditure savings. The company has closed on the sales of Hilton St. Petersburg Bayfront and La Posada de Santa Fe, as well as Hilton Alexandria Old Town and Embassy Suites by Hilton Palm Beach Gardens PGA Boulevard. These transactions generated $252.5M in gross proceeds, or $280K per key. The sale price represents a 6.0% capitalization rate on net operating income or a multiple of 14.5 times Hotel EBITDA for the twelve months ended December 31, 2025. The company has entered into definitive agreements to sell the 168-room Lakeway Resort & Spa for $37.8M or $225K per key, and the 150-room Embassy Suites by Hilton Dallas Near the Galleria for $17.0M or $113K per key. These sales are expected to be completed by May and are subject to normal closing conditions. The sale price represents a 4.8% capitalization rate on net operating income or a multiple of 16.2 times Hotel EBITDA for 2025.