Park Hotels & Resorts and its investment partners said that they have closed on the sale of their interests in the company that owns the 192-room Conrad Dublin located in Dublin, Ireland, for gross proceeds of €116.4 mln, before customary closing adjustments and debt repayment.
The name of the buyer was not disclosed.
The sale price represents a 3.9% capitalization rate on the Hotel’s projected 2019 net operating income.
'We are excited to announce the execution of this non-core asset sale at very attractive pricing, which reduces our international exposure as well as our ownership in joint venture interests,' commented Thomas J. Baltimore, Jr., Chairman and Chief Executive Officer of Park. 'I am incredibly proud of our team’s capital recycling efforts over the past two years, which include selling 19 non-core assets for approximately €739.5 mln and acquiring 18 high-quality assets in the recently completed €2.3 bn zcquisition of Chesapeake Lodging Trust.'
He added: 'The sale of the Conrad Dublin marks the beginning of a series of asset sales being executed to reduce leverage in the near term, delivering on our stated objective.'
The Conrad Hotel is 47.8%-owned by both Hilton Worldwide (part of the Park Hotels & Resorts Group) and the Cashel Fund, a regulated investment fund based in Dublin. Life and pensions group Aviva owns the remainder of the shares.