Dallas firm paying $186.6 million for Puerto Rico hotel
A Dallas company is paying a big price for a small luxury hotel.
Braemar Hotels & Resorts Inc. has agreed to pay $186.6 million to buy the 96-room Dorado Beach hotel in Puerto Rico.
The deal also includes management of 14 luxury residential units next to the hotel.
“The acquisition of Dorado Beach, a Ritz-Carlton Reserve, is an opportunity for us to acquire one of the most iconic luxury assets in the Americas,” Richard J. Stockton, Braemar’s president and chief executive officer said in a statement. “As the first Ritz-Carlton Reserve in the Americas and one of only five Ritz-Carlton Reserve properties worldwide, this unique property fits perfectly with our strategy of owning high revenue per available room luxury hotels and resorts and further diversifies our portfolio.”
The Dorado Beach hotel, on the north coast of Puerto Rico, is within the 1,900-acre Dorado Beach Resort, 20 miles from Old San Juan. The hotel opened in 2012 and underwent a $78 million renovation in 2018.
During the past year, the hotel has had an average daily rate of $1,968 a night, with 57% occupancy.
Braemar Hotels & Resorts — a real estate investment trust that owns luxury hotels and resorts — said it hopes to complete the purchase early next year.
Earlier this month, the company said its hotels had an occupancy rate of 60.8% for November with an average daily rate of approximately $349.