Braemar Completes Acquisition of Four Seasons Resort Scottsdale at Troon North for $267.8 Million

Braemar Hotels & Resorts Inc. (NYSE: BHR) today announced that it has completed the acquisition of the luxury 210-room Four Seasons Resort Scottsdale at Troon North in North Scottsdale, previously announced on November 1, 2022. The total consideration for the acquisition was $267.8 million. The acquisition was funded with cash on hand and no common equity was issued to fund the acquisition. As previously announced, of the total consideration, $250 million ($1.2 million per key) is allocated to the existing resort and represents a capitalization rate of 5.7% on hotel net operating income of $14.2 million and a 15.2x hotel EBITDA multiple, based on unaudited operating financial data provided by the sellers and forecasted financial results for 2022. The Company expects to realize a stabilized yield of approximately 8.0% on its investment in the next three to five years. The 5.7 acres of excess developable land has been preliminarily allocated $17.8 million of the purchase price and is zoned for commercial use. The potential uses include new hotel keys, as well as fitness and health studios, restaurants, and accessory buildings. Final entitlements will be based on designs that are subject to the approval of the Scottsdale Design Review Board.

Braemar Hotels & Resorts is a real estate investment trust (REIT) focused on investing in luxury hotels and resorts.

All information in this table is based upon unaudited forecasted operating financial data for the twelve month period ending December 31, 2022. This data has not been audited or reviewed by the Company's independent registered public accounting firm. The financial information presented could change.