BETHESDA, MD—Following news that Bethesda, MD-basedRLJ Lodging Trust netted $202.3 million from a publicoffering—and that it would use the proceeds foracquisition purposes—the REIT announced two acquisitions on theWest Coast for $120 million.

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The off-market trades are the 256-room CourtyardPortland City Center in Portland, OR, and the 293-roomEmbassy Suites Irvine Orange County in Irvine, CA.The properties are trading for approximately $219,000 per key,representing a forward capitalization rate of approximately 7.4% onthe hotels' combined projected 2015 net operating income.

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In a prepared statement, RLJ president and CEO ThomasBaltimore Jr. highlighted the REIT's ability to source"attractive, off-market opportunities."

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"Both assets benefit from prime central locations, strong brandaffiliations, and strong operating performance," he said.

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He also pointed out that in 2013, both the Portland and Irvinemarkets both outperformed overall U.S. RevPAR growth, as reportedby Smith Travel Research.

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The transaction was funded with cash available and its revolvingcredit facility. The REIT also said it would use proceeds from itsrecently announced follow-on offering to subsequently repay itsrevolving credit facility.

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RLJ now owns 148 properties, consisting of approximately 23,000rooms, and two planned hotel conversions located in 21 states andthe District of Columbia.

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