RLJ Lodging Trust Buys Two West Coast Hotels For $120 Mln - Quick Facts

(RTTNews) - RLJ Lodging Trust (RLJ) Friday said it acquired two West Coast hotels, the 256-room Courtyard Portland City Center in Portland, Oregon, and the 293-room Embassy Suites Irvine Orange County in Irvine, California, in an off-market transaction. The combined purchase price is $120.0 million, or about $219,000 per key.

The company noted that the purchase price represents a forward capitalization rate of around 7.4% on the hotels' combined projected 2015 net operating income.

The hotels' 2013 aggregate revenue per available room, or RevPAR is greater than $116, which is approximately a 10% premium to RLJ's reported 2013 RevPAR.

With the addition of these two hotels, the Company now owns 148 properties, consisting of 146 hotels with approximately 23,000 rooms, and two planned hotel conversions located in 21 states and the District of Columbia.