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Wyndham Acquires Portfolio of US Properties from American Hotel Income Properties
Friday 03 November 2017

3 November 2017 - Arizona, US-based hospitality company Wyndham Hotel Group has expanded its US presence through an agreement with Canada-based American Hotel Income Properties REIT LP (TSX: HOT.UN) (TSX: HOT.DB.U) (AHIP) to add 44 US hotel properties to Wyndham's Baymont Inn and Suites, Travelodge, Super 8 and Days Inn brands, the company said.
Terms of the transaction were not disclosed.
AHIP has also newly acquired two additional hotels joining the Wyndham portfolio.
All 46 hotels will become part of Wyndham's global distribution network and loyalty program by the end of the year.
The agreement boosts the company's presence in the US midscale and economy hotel landscape with locations in Tennessee, Kansas, Missouri, Nebraska and New York.
The hotels will continue to be managed by ONE Lodging Management Inc., AHIP's exclusive external hotel manager, a wholly owned subsidiary of O'Neill Hotels and Resorts Ltd.
Last month, Wyndham Hotel Group closed on its acquisition of AmericInn, a midscale brand with a high-quality reputation across its 200 hotels concentrated in the Midwest.
On top of the acquisition, year to date, the company has added nearly 200 hotels to its North American portfolio. The 2018-and-beyond domestic pipeline includes nearly 700 hotels and 63,000 rooms.
American Hotel Income Properties said by licensing Wyndham Hotel Group's brands, AHIP's hotels tap into the power and scale of the company's portfolio and gain access to distribution, buying power and sales capabilities in addition to 53m-member loyalty program.
American Hotel Investment Properties REIT LP is a limited partnership formed to invest in hotel real estate properties located in the United States.
The company currently owns 114 hotels, and is actively engaged in growing its portfolio of premium branded, select-service hotels in larger secondary markets that have diverse and stable demand.
AHIP hotels operate under brands affiliated with Marriott, Hilton, IHG, Wyndham and Choice Hotels through license agreements.
Wyndham Hotel Group is one of three hospitality business units of Wyndham Worldwide (NYSE: WYN). As both a hotel brand franchisor and hotel management services provider, the company's global portfolio consists of more than 8,300 hotels and over 708,500 rooms in 78 countries.
Details
Date Published: 03/11/2017
Target: 44 US hotel properties converted to Wyndham brands
Country: USA
Sector: Hotels/Restaurants/Casinos/Catering
Type: Corporate acquisition
Financing:
Status: Agreed
Vendor: American Hotel Income Properties REIT
Buyer: Wyndham Hotel Group,  
Comment:
Terms of the deal were not disclosed

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