Braemar Hotels & Resorts Inc. has closed on the sale of the Hilton La Jolla Torrey Pines for $165 million ($419,000 per key).
JRK Property Holdings acquired the property through its $350 million Hospitality Fund.
Including anticipated capital expenditures of $40 million, the sale price represents a 7.2% capitalization rate on net operating income for the trailing twelve months ended March 31. The company continues to evaluate the sale of two more hotels, subject to market conditions, to be completed in 2024 and 2025, respectively.
“We are pleased to announce the closing of the sale of the Hilton La Jolla Torrey Pines at a very attractive cap rate,” said Richard J. Stockton, president/CEO, Braemar. “This sale demonstrates the high-quality nature of the Braemar portfolio and removes our last remaining 2024 debt maturity. We continue to evaluate additional potential asset sales and look forward to providing additional updates on our next earnings call.”
