Monday, August 5, 2024 Host Hotels & Resorts expands its portfolio with the acquisition of the luxurious 1 Hotel Central Park in New York and the prestigious Ritz-Carlton O’ahu in Hawaii. Host Hotels & Resorts, Inc. (NASDAQ: HST), the leading lodging real estate investment trust in the United States, today declared its purchase of the entire ownership in the 234-room 1 Hotel Central Park for around $265 million in cash.
This purchase value corresponds to an 11.1x EBITDA multiple and a capitalization rate of roughly 8.1% based on the estimated financial outcomes for 2024.
The hotel is projected to rank within the top-10 properties of Host based on the anticipated full-year results for 2024, with a forecasted Revenue per Available Room (RevPAR) of $545, Total RevPAR of $735, and an EBITDA per room exceeding $100,000. This acquisition is set to enhance the overall quality of Host’s portfolio. James F.
Risoleo, President and Chief Executive Officer, said , “We are excited to add the 1 Hotel Central Park to our portfolio and further diversify Host’s presence in New York City, one of the top performing RevPAR markets in the country. This high performing hotel will provide exposure to the luxury guest in Upper Manhattan, the top RevPAR submarket in the city. This is our third 1 Hotel acquisition, after Nashville and South Beach, and we look forward to continuing our strong partnership with the sustainable luxury brand.
” Risoleo continued , “With meaningful in-place cash .