Posted at 9:39 a.m., Monday, October 17, 2005
Waikiki Beach Marriott to be sold for $279 million
Bloomberg News Service
CNL Hotels & Resorts Inc. said a partnership in which it has a 49 percent stake has agreed to sell the Waikiki Beach Marriott Resort for about $279 million.The buyer of the 1,310-room hotel is an affiliate of closely held Whitehall Street Global Real Estate LP 2005, CNL Hotels said today in a statement. Closely held CNL Hotels of Orlando, Florida, expects a gain of about $48 million from the sale.
The partnership will sell the site for more than twice the amount it cost. Hotel values are forecast to rise in 2005 for the fourth straight year to an average of $146,000 a room as travel increases, according to consulting firm HVS International.
The partnership acquired the hotel in 2001 from Marriott International Inc. for $130 million. The company, which has $5.8 billion in assets, plans to use the sale's proceeds for future acquisitions of luxury resorts and high-end properties. The transaction is expected to close this quarter.
CNL Hotels owns 94 hotels and resorts in North America, including the 780-room Grand Wailea Hotel Resort & Spa in Maui.
