Summary
Marriott International, Inc. (MAR) announced a significant transaction on June 1, 2017, where Carey Watermark Investors 2 Incorporated (CWI 2) acquired the Charlotte Marriott City Center hotel for approximately $170 million. While the hotel has been sold, Marriott International retains a long-term management agreement for the 446-room property. This indicates a continued operational involvement and revenue stream for Marriott from this asset, even after the change in ownership.
Key Highlights
- 1Marriott International (MAR) sold the Charlotte Marriott City Center hotel for approximately $170 million on June 1, 2017.
- 2The buyer was Carey Watermark Investors 2 Incorporated (CWI 2).
- 3The hotel is a 446-room property.
- 4Marriott International has secured a long-term management agreement for the hotel post-acquisition.
- 5This transaction represents a real estate divestiture while maintaining operational control and associated management fees.
- 6The event date for this disclosure was June 1, 2017, and it was filed on the same day.
Frequently Asked Questions
Marriott sold the hotel to Carey Watermark Investors 2 Incorporated (CWI 2) for approximately $170 million. However, Marriott International has retained a long-term management agreement for the property, indicating continued operational involvement and revenue generation through management fees.
This transaction represents a divestiture of a real estate asset, which could free up capital for other investments or debt reduction. Importantly, Marriott continues to earn revenue through the management agreement, mitigating the impact of the sale on its core operations and potentially improving asset turnover metrics.
The sale of the Charlotte Marriott City Center hotel was for approximately $170 million.
The hotel is a 446-room property.