Hilton Spends the Money It Made on Waldorf Astoria to Buy 5 New Hotels

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Skift Take

Hilton’s not getting out of the brick and mortar property
owning business, it’s just making the most off of New York City’s
inflated real estate market.

— Jason Clampet

Parc 55

Hilton Worldwide Holdings Inc.,
the largest operator of lodging properties, agreed to buy San
Francisco’s Parc 55 hotel and four other hotels for $1.76 billion.

Hilton will purchase the properties with some of the proceeds from
its $1.95 billion sale of the Waldorf Astoria hotel in New York,
according to a statement on Wednesday. That sale, to China’s Anbang
Insurance Group Co., has now closed, Hilton said.

Hilton said in October it agreed to sell the Waldorf Astoria on Park
Avenue to Anbang. Under U.S. tax-deferral rules, Hilton must complete
its purchases with the proceeds within 180 days of the sale closing.
Anbang said on Feb. 1 that it had completed all regulatory procedures
for its purchase.

The other four hotels are in Florida, with two in Orlando and two in
Key West. All of the Florida properties already operate under the Hilton
Brand and they include a total of 1,960 rooms, according to the
statement.

– Skift

via Blogger http://ift.tt/1E0GN3K

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