Saturday, July 20, 2024

“Sunstone Acquires Riverwalk Hotel for 0M”

Share

Sunstone Hotel Investors has successfully acquired the Hyatt Regency San Antonio Riverwalk, a 630-room hotel, for a total purchase price of 0 million. This prime property is strategically positioned between San Antonio’s iconic Riverwalk and the historic Alamo, making it one of the most sought-after tourist destinations in Texas. The purchase also includes nearly two acres of riverfront land and a 516-space parking garage, conveniently located next to the Alamo Visitor Center and Museum.

The hotel recently underwent a major million renovation of its guestrooms, ensuring that it is in top-notch condition with no immediate capital requirements. Hyatt will continue to operate the hotel under its renowned Hyatt Regency brand and will provide approximately million as part of the transaction agreement.

Taking into account the incentives from Hyatt, the net purchase price translates to around 2,000 per key. This represents an 11.1x multiple on the estimated 2024 hotel EBITDA and an 8.0% capitalization rate based on the projected hotel net operating income. This acquisition marks a strategic move for Sunstone Hotel Investors as they expand their portfolio in the thriving hospitality sector.

Read more

Local News