BETHESDA, Maryland—Pebblebrook Hotel Trust’s short time as a publicly traded company has been an active one, as the real-estate investment trust has invested nearly US$1 billion in gobbling up hotels since its December 2009 initial public offering.
During the REIT’s recent first-quarter earnings call, company officials shed some light on the returns from its 12-hotel portfolio. That information is listed below (the data was presented prior to the announcement of the company’s acquisition of the Mondrian Los Angeles):
• Average discount to replacement cost: 35%
• First-year average cash yield (after a 4% furniture, fixtures and equipment reserve): 6%
• Unlevered five-year internal rate of return: more than 5%
• Hotel earnings before interest, taxes, depreciation and amortization (first quarter): US$ 8 million (an increase of 26.7%)
• Hotel EBITDA margin (first quarter): 18.6% (up 273 basis points)
• Portfolio pro forma run rate for 2011 hotel EBITDA: (US$69 million to US$72 million)
“We believe there is a lot of internal organic growth in this portfolio beyond the industry recovery,” chairman, president and CEO Jon E. Bortz said during the call.
Hotel portfolio
Pebblebrook’s hotel portfolio is outlined below:
California
• Argonaut Hotel (San Francisco)
• Mondrian Los Angeles (Los Angeles)
• Sheraton Delfina Santa Monica (Santa Monica, California)
• Sir Francis Drake Hotel (San Francisco)
• The Westin Gaslamp Quarter (San Diego)
Georgia
• InterContinental Buckhead (Atlanta)
Maryland
• DoubleTree by Hilton Bethesda – Washington DC (Bethesda, Maryland)
Minnesota
• The Grand Hotel Minneapolis (Minneapolis)
Pennsylvania
• Sofitel Philadelphia (Philadelphia)
Washington
• Hotel Monaco Seattle (Seattle)
• Skamania Lodge (Stevenson, Washington)
Washington, D.C.
• Hotel Monaco Washington DC (Washington, D.C.)
Contact:
Pebblebrook Hotel Trust
Email: info@pebblebrookhotels.com