Wyndham has been trying to sell the 2,249-room portfolio for about five years. Before 9-11, the five-state package, acquired for $171.3 million in the late 1990s, was carrying a "north of $200 million" price tag, the source tells GlobeSt.com. Since then, he says "the seller got more reasonable in the price expectations."
A second industry source says the Dallas-based Wyndham had USAA committed to roughly $60,000 per door or slightly more, factoring in the buyout for completed renovations, until 1.5 months ago when last-minute negotiations drove a new buy-in price as the replacement JV partner. The expert says $129 million for the package is "a great price."
Experts, though, are carefully watching the teaming of USAA with MetLife and Hilton into Slohat Hotels LP. The thought is that the new JV partners will end up principal players in USAA's soon-to-come hotel co-investment fund. For previous story, click here.
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