Hersha Hospitality Trust (NYSE:HT) will sell two of its hotels and two unconsolidated joint venture assets for a total asset value of $144.0M, and use proceeds to reduce debt by $97.0M.
Will result in taxable gains of ~$31.0M.
The agreements include the sale of the Blue Moon Hotel on Miami Beach for $30.0M, the Duane Street Hotel in New York City for $20.0M and the exit of the 50% ownership in two South Boston hotels — Courtyard South Boston and Holiday Inn Express South Boston for $94M.
The Blue Moon sale price represents trailing twelve-month economic capitalization rate of 1.7% and the Duane Street sale price represents a trailing twelve-month economic capitalization rate of 3.8%.
