Pebblebrook Hotel Trust Completes Sale of The Roger New York

Rhea-AI Summary

Pebblebrook Hotel Trust (NYSE: PEB) announced the sale of its leasehold interest in The Roger New York for $19.0 million to a third party. The transaction, finalized on June 10, 2021, involves a ground lease with approximately 23 years remaining. Proceeds will be used for general business purposes, including potential debt reduction and hotel property investments. Pebblebrook is the largest owner of urban and resort lifestyle hotels in the U.S., operating 51 hotels with about 12,600 guest rooms across 13 markets.

Positive

• Completed the sale of The Roger New York for $19.0 million.
• Proceeds can be utilized for debt reduction or new investments, enhancing financial flexibility.

Negative

• Current hotel operating metrics show low occupancy rates; 20% occupancy in Q1 2021.
• Hotel EBITDA margin for Q1 2021 is negative at (17.0%), indicating ongoing financial challenges.

Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) announced that on June 10, 2021, it closed on the sale of its leasehold interest in the 194-room The Roger New York in New York, NY for $19.0 million to a third party. The Roger New York is subject to a ground lease with approximately 23 years remaining on its term.

Proceeds from the sale of The Roger New York will be utilized for general business purposes, which may include reducing the Company’s outstanding debt and/or acquiring and investing in hotel properties in accordance with the Company’s investment strategy.

About Pebblebrook Hotel Trust

Pebblebrook Hotel Trust (NYSE: PEB) is a publicly traded real estate investment trust (“REIT”) and the largest owner of urban and resort lifestyle hotels in the United States. The Company owns 51 hotels, totaling approximately 12,600 guest rooms across 13 urban and resort markets with a focus on the west coast gateway cities. For more information, visit www.pebblebrookhotels.com and follow us at @PebblebrookPEB.

For additional information or to receive press releases via email, please visit our website at www.pebblebrookhotels.com

Pebblebrook Hotel Trust
Historical Operating Data
($ in millions, except ADR and RevPAR)
(Unaudited)
Historical Operating Data:
			First Quarter		Second Quarter		Third Quarter		Fourth Quarter		Full Year
			2019		2019		2019		2019		2019
Occupancy			75%		87%		87%		79%		82%
ADR			$250		$269		$264		$246		$258
RevPAR			$188		$233		$230		$193		$211
Hotel Revenues			$313.9		$389.2		$382.3		$337.4		$1,422.8
Hotel EBITDA			$85.0		$142.6		$133.0		$97.9		$458.6
Hotel EBITDA Margin			27.1%		36.6%		34.8%		29.0%		32.2%
			First Quarter		Second Quarter		Third Quarter		Fourth Quarter		Full Year
			2020		2020		2020		2020		2020
Occupancy			56%		3%		20%		21%		25%
ADR			$248		$264		$216		$195		$231
RevPAR			$139		$9		$44		$41		$58
Hotel Revenues			$240.1		$22.0		$76.9		$74.0		$413.1
Hotel EBITDA			$37.4		($38.7)		($16.9)		($17.5)		($35.6)
Hotel EBITDA Margin			15.6%		(175.9%)		(22.0%)		(23.6%)		(8.6%)
			First Quarter
			2021
Occupancy			20%
ADR			$239
RevPAR			$47
Hotel Revenues			$83.5
Hotel EBITDA			($14.2)
Hotel EBITDA Margin			(17.0%)
These historical hotel operating results include information for all of the hotels the Company owned as of June 10, 2021, following the sale of The Roger New York. These historical operating results include periods prior to the Company's ownership of the hotels. The information above does not reflect the Company's corporate general and administrative expense, interest expense, property acquisition costs, depreciation and amortization, taxes and other expenses. Any differences are a result of rounding. The information above has not been audited and has been presented only for comparison purposes.

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20210611005028/en/

FAQ

What is Pebblebrook Hotel Trust's recent sale announcement about?

Pebblebrook Hotel Trust announced the sale of its leasehold interest in The Roger New York for $19.0 million.

How will Pebblebrook use the proceeds from the sale of The Roger New York?

Proceeds will be utilized for general business purposes, including reducing debt or acquiring new hotel properties.

What is the occupancy rate for Pebblebrook's hotels in Q1 2021?

The occupancy rate for Pebblebrook’s hotels in Q1 2021 was 20%.

What is Pebblebrook Hotel Trust's financial performance in Q1 2021?

In Q1 2021, Pebblebrook reported a negative hotel EBITDA margin of (17.0%).

How many hotels does Pebblebrook Hotel Trust own?

Pebblebrook Hotel Trust owns 51 hotels totaling approximately 12,600 guest rooms.