Xenia Hotels & Resorts Completes One hundred eleven million dollars Sale Of Fairmont Dallas, Paving The Way For Strategic Investments And Strengthened Financial Flexibility

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Xenia Hotels & Resorts has successfully completed the sale of the 545-room Fairmont Dallas for $111 million, a move that will strategically enhance the company’s capital position. The proceeds from this transaction will be allocated to key corporate initiatives, including debt reduction, potential acquisitions, and share repurchases, aligning with Xenia’s long-term growth strategy. This sale not only strengthens the company’s financial flexibility but also positions it for further expansion and investment opportunities, paving the way for a brighter future in the hospitality sector.

Xenia Hotels & Resorts, Inc. (NYSE: XHR) has announced the sale of the 545-room Fairmont Dallas for $111 million, which equates to about $203,670 per key. The sale price is based on an 8.6x multiple and a 10.0% capitalization rate, derived from the property’s Hotel EBITDA and Net Operating Income for the twelve-month period ending February 28, 2025.The metrics provided are exclusive of an estimated $80 million in near-term capital expenditures. The Company expects the Fairmont Dallas to earn approximately $8 million in Hotel EBITDA for the remainder of 2025.

Xenia Hotels & Resorts has completed the sale of the Fairmont Dallas for $111 million, with the proceeds set to enhance its financial flexibility. This move supports the company’s growth strategy, including debt reduction, acquisitions, and share repurchases.

This sale marks a significant transaction for Xenia, further aligning with the Company’s strategic goals. The net proceeds from the sale are expected to be used for general corporate purposes, which may include debt repayment, acquisitions in line with the Company’s growth strategy, and/or share repurchases under the existing authorization.

The decision to sell the Fairmont Dallas comes as part of Xenia’s continued focus on optimizing its portfolio. By reallocating capital to higher-growth opportunities and enhancing shareholder value, the Company is positioning itself for sustained success and future expansion.