Pebblebrook Hotel Trust (PEB - Free Report) has announced the execution of a contract to sell Union Station Hotel Nashville, Autograph Collection to a third party for $56 million. The company is aimed at accomplishing the sale in the third quarter of this year.
Notably, the Bethesda, MD-based lodging REIT, which focuses on urban and resort lifestyle hotels in the United States, shelled out $52.3 million for this 125-room iconic landmark hotel on Broadway, in the center of downtown Nashville in December 2014. It marked the company’s first hotel investment in Nashville’s central business district.
This upper-upscale, full-service hotel, which emerged as a National Historic Landmark, initially opened in 1900 as the L&N Railroad Station. In 1986, the property was converted to a hotel and later underwent renovations for the conversion of the property to an Autograph Collection by Marriott hotel in 2012.
The coronavirus pandemic continues to wreak havoc, hitting the travel, airline, lodging and tourism, and event industries hard. It has resulted in a declining lodging demand, as states have imposed travel restrictions and mandatory stay-at-home orders to curb the spread, and meetings and conferences have been called off. As a result, business travelers are grounded, while leisure travelers are scared to go on an outing, affecting lodging REITs like Host Hotels & Resorts, Inc. (HST - Free Report) , Chatham Lodging Trust (CLDT - Free Report) and Sunstone Hotel Investors (SHO - Free Report) among others.
Pebblebrook too has not been spared and withdrew its outlook for the ongoing year on Mar 9, as it experienced large number of group cancellations.
In response to both state and local government requirements and recommendations, the company has temporarily suspended operations at 46 of 54 hotels and resorts and lowered 2020 capital investments by $50 million, including deferring certain projects to 2021 and beyond.
The company’s first-quarter 2020 adjusted funds from operations (FFO) per share slumped 71.7% year over year to 13 cents, with same-property total revenues decreasing 23.1% to $255.8 million. As of Mar 31, 2020, the company had cash on hand of $746.8 million as well as no secured debt and no near-term debt maturities. Further, the sale of this property will offer added financial flexibility to sail through the challenging times.
Shares of Pebblebrook have depreciated 49.1%, wider than the 10.2% decline of its industry in the year-to-date period.
Currently, the stock carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Zacks’ Single Best Pick to Double
From thousands of stocks, 5 Zacks experts each picked their favorite to gain +100% or more in months to come. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
This young company’s gigantic growth was hidden by low-volume trading, then cut short by the coronavirus. But its digital products stand out in a region where the internet economy has tripled since 2015 and looks to triple again by 2025.
Its stock price is already starting to resume its upward arc. The sky’s the limit! And the earlier you get in, the greater your potential gain.
Click Here, See It Free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Pebblebrook Hotel Trust (PEB - Free Report) has announced the execution of a contract to sell Union Station Hotel Nashville, Autograph Collection to a third party for $56 million. The company is aimed at accomplishing the sale in the third quarter of this year.
Notably, the Bethesda, MD-based lodging REIT, which focuses on urban and resort lifestyle hotels in the United States, shelled out $52.3 million for this 125-room iconic landmark hotel on Broadway, in the center of downtown Nashville in December 2014. It marked the company’s first hotel investment in Nashville’s central business district.
This upper-upscale, full-service hotel, which emerged as a National Historic Landmark, initially opened in 1900 as the L&N Railroad Station. In 1986, the property was converted to a hotel and later underwent renovations for the conversion of the property to an Autograph Collection by Marriott hotel in 2012.
The coronavirus pandemic continues to wreak havoc, hitting the travel, airline, lodging and tourism, and event industries hard. It has resulted in a declining lodging demand, as states have imposed travel restrictions and mandatory stay-at-home orders to curb the spread, and meetings and conferences have been called off. As a result, business travelers are grounded, while leisure travelers are scared to go on an outing, affecting lodging REITs like Host Hotels & Resorts, Inc. (HST - Free Report) , Chatham Lodging Trust (CLDT - Free Report) and Sunstone Hotel Investors (SHO - Free Report) among others.
Pebblebrook too has not been spared and withdrew its outlook for the ongoing year on Mar 9, as it experienced large number of group cancellations.
In response to both state and local government requirements and recommendations, the company has temporarily suspended operations at 46 of 54 hotels and resorts and lowered 2020 capital investments by $50 million, including deferring certain projects to 2021 and beyond.
The company’s first-quarter 2020 adjusted funds from operations (FFO) per share slumped 71.7% year over year to 13 cents, with same-property total revenues decreasing 23.1% to $255.8 million. As of Mar 31, 2020, the company had cash on hand of $746.8 million as well as no secured debt and no near-term debt maturities. Further, the sale of this property will offer added financial flexibility to sail through the challenging times.
Shares of Pebblebrook have depreciated 49.1%, wider than the 10.2% decline of its industry in the year-to-date period.
Currently, the stock carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Note: Anything related to earnings presented in this write-up represents funds from operations (FFO) — a widely used metric to gauge the performance of REITs.
Zacks’ Single Best Pick to Double
From thousands of stocks, 5 Zacks experts each picked their favorite to gain +100% or more in months to come. From those 5, Zacks Director of Research, Sheraz Mian hand-picks one to have the most explosive upside of all.
This young company’s gigantic growth was hidden by low-volume trading, then cut short by the coronavirus. But its digital products stand out in a region where the internet economy has tripled since 2015 and looks to triple again by 2025.
Its stock price is already starting to resume its upward arc. The sky’s the limit! And the earlier you get in, the greater your potential gain.
Click Here, See It Free >>
Zacks Names "Single Best Pick to Double"
From thousands of stocks, 5 Zacks experts each have chosen their favorite to skyrocket +100% or more in months to come. From those 5, Director of Research Sheraz Mian hand-picks one to have the most explosive upside of all.
It’s a little-known chemical company that’s up 65% over last year, yet still dirt cheap. With unrelenting demand, soaring 2022 earnings estimates, and $1.5 billion for repurchasing shares, retail investors could jump in at any time.
This company could rival or surpass other recent Zacks’ Stocks Set to Double like Boston Beer Company which shot up +143.0% in little more than 9 months and NVIDIA which boomed +175.9% in one year.
Free: See Our Top Stock and 4 Runners Up >>
Get the latest research report on HST - FREE
Get the latest research report on SHO - FREE
Get the latest research report on PEB - FREE
Get the latest research report on CLDT - FREE