In a press release published on 9 April 2026, Ashford Hospitality Trust, Inc. (a listed real estate investment trust – REIT – investing primarily in upper-upscale and luxury full-service hotels) announced the continuation of its portfolio optimisation strategy through strategic asset sales, with the completion of four hotel sales and definitive agreements for two additional sales. With the majority of proceeds from these sales directed towards mortgage debt repayment, the transactions are also expected to generate more than $60 million in future capital expenditure savings.
Stephen Zsigray, President and CEO of Ashford Hospitality Trust, said in the release that the Group continued to aggressively refine its hotel portfolio through strategic divestitures, remaining focused on maximising shareholder value. He noted that these sales addressed three strategic objectives: improving cash flow after debt service, meaningfully reducing future capital expenditure obligations, and lowering portfolio leverage.
The Group completed the previously announced sales of the Hilton St. Petersburg Bayfront and the La Posada de Santa Fe, as well as the Hilton Alexandria Old Town and the Embassy Suites by Hilton Palm Beach Gardens PGA Boulevard. These transactions generated $252.5 million in gross proceeds, or $280,000 per key, corresponding to a 6.0% capitalisation rate on net operating income once adjusted for anticipated capital expenditures of $57.6 million, or a multiple of 14.5x hotel EBITDA for the twelve months ended 31 December 2025.
The 9 April release also disclosed definitive agreements for the sale of the 168-room Lakeway Resort & Spa, for $37.8 million, or $225,000 per key, and the 150-room Embassy Suites by Hilton Dallas Near the Galleria, for $17.0 million, or $113,000 per key.
Continuing this strategy, Ashford Hospitality Trust completed, on 31 July 2026, a seventh sale, separate from those announced in April: that of the 358-room Hyatt Regency Long Island, in Hauppauge, New York, through its indirect subsidiary HH FP Portfolio LLC, for approximately $26.5 million in cash. Net cash consideration came to approximately $26.2 million after disposition costs, and the Group applied approximately $25.7 million to repaying the mortgage lender on a loan secured by a 15-hotel portfolio that included this asset. This divestiture strategy follows on from a previous wave begun in November 2025, covering Le Pavillon, in New Orleans, and two Embassy Suites properties in Texas, for a combined $69.5 million.
According to pro forma financial information disclosed by the Group in connection with the Hyatt Long Island sale, removing this property’s assets, liabilities and results would have improved the 2025 net loss attributable to common shareholders from $215.0 million to $212.6 million, and basic and diluted loss per share from $35.99 to $35.59.
===AT_A_GLANCE===
At a Glance
Ashford Hospitality Trust — 2026 portfolio optimization – Original announcement: press release, April 9, 2026 – Closed sales (4 hotels, announced April 9): Hilton St. Petersburg Bayfront, La Posada de Santa Fe, Hilton Alexandria Old Town, Embassy Suites Palm Beach Gardens PGA Boulevard — $252.5M gross ($280K/key) – Pending sales (2 hotels, announced April 9): Lakeway Resort & Spa ($37.8M, $225K/key), Embassy Suites Dallas Near the Galleria ($17.0M, $113K/key) — expected close by May 2026 – Separate, most recent transaction: Hyatt Regency Long Island (358 rooms, Hauppauge, NY), closed July 31, 2026, ~$26.5M gross / $26.2M net proceeds – Debt paydown (Hyatt Long Island): ~$25.7M applied to mortgage secured by a 15-hotel portfolio – Estimated future capex savings across April transactions: $60M+ – Prior related sale (Nov. 2025): Le Pavillon (New Orleans) + 2 Texas Embassy Suites, $69.5M total
