Host Hotels & Resorts acquires two hotel properties for $374 million
Host Hotels & Resorts announced the purchase of the leasehold interest in 1 Hotel Brooklyn Bridge for $202 million and the fee‑simple interest in Renaissance Dallas at Plano Legacy West for about $172 million. The deals represent EBITDA multiples of 10.2x and 11.2x, respectively, based on each property's 2026 estimated results. Host expects the two assets to generate $6 million of EBITDA in 2026, adding roughly $4 million of adjusted EBITDA beyond the interest income that would have been earned on the cash.
Why it matters
The acquisitions increase Host's adjusted EBITDA by an estimated $4 million, enhancing earnings per share and supporting the company's growth strategy. The new assets also broaden Host's geographic diversification into Brooklyn and the Dallas‑Fort Worth market, which may improve portfolio resilience.
Key facts
- 1Host Hotels & Resorts acquired the leasehold interest in 1 Hotel Brooklyn Bridge for $202 million in cash. investing.com
- 2Host Hotels & Resorts acquired the fee‑simple interest in Renaissance Dallas at Plano Legacy West for approximately $172 million in cash. investing.com
- 3The 1 Hotel Brooklyn Bridge acquisition represents a 10.2x EBITDA multiple or about an 8.2% cap rate based on 2026 estimated results. investing.com
- 4The Renaissance Dallas acquisition represents an 11.2x EBITDA multiple or about a 7.9% cap rate based on 2026 estimated results. investing.com
- 5The two properties are expected to contribute $6 million of EBITDA during Host's 2026 ownership period. investing.com
- 6Adjusted EBITDA from the cash invested is projected to be about $4 million higher than the interest income that would have been earned. investing.com
Summary written by AlphAI AI Desk from 2 of 2 sources. Not investment advice. Figures are as stated by the linked sources.