Ashford Hospitality Climbs on Sales of Hilton Houston
Ashford Hospitality Trust, Inc. (NYSE: AHT) announced today that it has signed a definitive agreement to sell the 242-room Hilton Houston NASA Clear Lake located in Houston, Texas for $27.0 million. The sale is expected to be completed in June 2025 and is subject to normal closing conditions. The Company provides no assurances that the sale will be completed on these terms or at all.
When adjusted for the Company's anticipated capital expenditures, the sale price represents a 3.2% capitalization rate on net operating income or 23.6x Hotel EBITDA for the twelve months ended April 30, 2025.
Excluding the anticipated capital spend, the sale price represents a 5.0% capitalization rate on net operating income or 15.2x Hotel EBITDA for the 12 months ended April 30, 2025.
"We are pleased to announce the signed agreement to sell the Hilton Houston NASA Clear Lake at a very attractive cap rate," commented CEO Stephen Zsigray.
"This sale will deleverage our Morgan Stanley 17 Pool loan, and result in significant capital expenditure savings. Combined with our "GRO AHT" initiative, we're excited about the potential for opportunistic sales to further transform the company and have additional assets in the market at various stages of the sales process."
Ashford Hospitality Trust is a real estate investment trust (REIT) focused on investing predominantly in upper upscale, full-service hotels.
AHT units grabbed 8.5 cents, or 1.4%. early Friday to $6.09.
