FelCor Lodging Trust Inc.
) - a real estate investment trust - inked a deal to divest
Sheraton Suites Galleria - Atlanta for $21 million to an
undisclosed purchaser. The transaction is likely to be complete
As part of deal, the purchaser paid an $840,000 non-refundable
deposit to FelCor Lodging. The latter intends to utilize the
entire proceeds to pay off its outstanding debts.
Notably, the asset sale is part of FelCor Lodging's long-term
strategy to reposition its portfolio through divestiture of
non-strategic assets and investment in high-quality hotels in
major markets to drive healthy return on investments.
The 277-room Sheraton Suites Galleria - Atlanta, one of the
premium branded hotels of
Starwood Hotels and Resorts Worldwide, Inc.
), is located in proximity to well-known business centers
including Cobb Galleria Convention Centre and Cobb Energy Centre.
The all-suite hotel is also located at an easily commutable
distance from renowned shopping and dining outlets - such as
), Maggiano's Little Italy, Victoria's Secret and
The Cheesecake Factory Inc
In the previous month, FelCor Lodging had agreed to sell
another non-strategic asset - Holiday Inn - located in Santa
Barbara/Goleta for $24 million. The company used the proceeds to
repay its outstanding debt. We expect such strategic moves to
position FelCor Lodging favorably, going forward.
FelCor Lodging currently owns 66 upper-upscale full-service
hotels and resorts under globally recognized brands such as
Embassy Suites Hotels, Doubletree, Hilton, Marriott, Renaissance,
Fairmont, Sheraton, Westin and Holiday Inn. Most of the
properties of the company are located in major markets across the
FelCor Lodging currently carries a Zacks Rank #3 (Hold).
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