Park Hotels Sells Underperforming Hotels, Boosting US Tourism Hotspots

Published on December 10, 2025

Park Hotels and Resorts Inc has announced its successful strategic divestment of several non-core assets, in a move that strengthens its portfolio of high-quality properties, particularly in top US tourism destinations like Hawaii, Orlando, New York, and Santa Barbara. The company’s focus on exiting underperforming hotels and exiting non-essential assets will not only boost the company’s overall performance but also enhance the tourism experience in key locations, ensuring greater investment in their high-demand properties.

Park Hotels and Resorts Takes a Major Step Towards Portfolio Reshaping

In 2025, Park Hotels and Resorts executed a series of sales and agreements to divest five non-core hotels, anticipating gross proceeds of 198 million dollars. These assets, primarily located in secondary and less profitable markets, generated limited earnings, and their sale marks a shift towards a more refined portfolio of luxury properties. Among the notable properties sold were the Hyatt Centric Fisherman’s Wharf in San Francisco and the Capital Hilton DC in Washington, D.C. By selling underperforming assets and exiting non-core locations, Park is focusing on further enhancing its presence in key tourism hotspots.

The strategic move is set to reshape the company’s future. In addition to these sales, Park also plans to dispose of several other non-core hotels, including major hotels in Kansas City, Seattle, and Sonoma, expected to close by early 2026. These hotels were on expiring ground leases and had minimal revenue generation potential in 2025. By focusing on core assets with stronger earnings potential, Park aims to elevate its market position and provide better offerings for the tourism sector.

Strong Performance in Key US Tourism Markets

Despite the temporary setbacks caused by the FAA’s reduction in air traffic, Park Hotels & Resorts has maintained a strong operational performance. The company’s core hotels, particularly in Hawaii, New York, and Orlando, have seen impressive RevPAR growth in October and November. The Hilton Hawaiian Village Waikiki Beach Resort in Honolulu, for instance, experienced a 20 percent and 26 percent increase in RevPAR in October and November, respectively. This surge highlights the growing demand for leisure destinations in Hawaii and the positive impact of tourism recovery post-pandemic.

The results in destinations like New York, Denver, and Orlando, with RevPAR growth of 10 percent, 8 percent, and 6 percent, further demonstrate the resilience and strength of Park’s properties in prime locations. As the tourism industry continues to recover, these key destinations are experiencing robust growth, with visitor numbers showing an upward trend, contributing positively to Park’s overall portfolio.

Tourism Investment and Long-Term Growth

With a focus on some of the most popular and highest-demand tourism destinations in the US, including Miami, Santa Barbara, New York, and Orlando, Park Hotels and Resorts is positioning itself for long-term success. The company anticipates that, upon completing its portfolio transformation, it will own one of the highest-quality hotel portfolios in the sector. This will include iconic destinations like Hawaii, New York, and Boston, which are increasingly important to both leisure and business travellers.

By refining its portfolio, Park is not only improving its bottom line but also ensuring that its properties in key tourist markets are better equipped to serve the growing demand for quality accommodations. The company’s strategic focus on these popular destinations will play a crucial role in supporting tourism in the coming years.

A Promising Future for Tourism and Hotel Investment

Park Hotels and Resorts’ decision to divest non-core assets signals a clear commitment to long-term growth, with an emphasis on locations that have the highest potential for tourism and travel demand. The company’s portfolio, post-transformation, will be dominated by properties in markets like Hawaii, Santa Barbara, Miami, New York, and Orlando, which are poised to attract more tourists. As these key destinations continue to see growth, Park’s focus on high-performing assets will help the company thrive while contributing to the recovery and expansion of the US tourism sector.

Shaping the Future of US Tourism and Hospitality

Park Hotels and Resorts’ strategic divestments and focus on high-quality properties in top tourism markets are a testament to its commitment to shaping the future of US tourism. By strengthening its portfolio with premium assets in sought-after locations, the company is helping to drive tourism recovery and economic growth in some of the most popular US’S destinations.