NEWPORT, R.I. — Pebblebrook Hotel Trust (NYSE: PEB) has acquired Gurney’s Newport Resort & Marina, a 10-acre waterside resort located on Narragansett Bay in Rhode Island, for $174 million. The 257-room hotel is located on Goat Island in Newport and features unobstructed views of Newport Harbor and the Newport Bridge.
The hotel grounds include a historic lighthouse; 3,000-square-foot spa; coffee shop; 3,200-square-foot waterside pavilion; resort-style swimming pool with cabanas; indoor pool; fitness center; seasonal ice-skating rink; 80,000 square feet of flexible indoor and outdoor event space; and several waterside restaurants, including Showfish Newport and The Pineapple Club. The property also features a 22-slip full-service marina, which was not included in the sale, but will be available for PEB to purchase in 2027.
Amenities at the resort include a swimming pool with cabanas.
The new ownership is evaluating a number of capital expenditures at the resort, which could include full renovations to guest rooms; upgrades to the lobby; updated landscaping; refurbishment of the property’s restaurants and bars; the addition of a new market; relocating and updating the spa; and updates to the hotel’s grand ballroom, south lawn and outdoor pavilion spaces.
“Gurney’s Newport is the only resort-style property in Newport, drawing strong demand from New York, Boston and Providence,” says Jon Bortz, chairman, president and CEO of Pebblebrook. “With group and individual travelers increasingly seeking a resort experience with open-air amenities, Gurney’s Newport is well-positioned to continue to grow in the Newport market.”
The acquisition of Gurney’s Newport brings Pebblebrook’s portfolio to 55 hotels and resorts totaling 13,600 guest rooms across 16 markets. The company funded the acquisition with cash on-hand and proceeds from its senior unsecured revolving credit facility. The seller in the transaction was not disclosed.
The property will operate under Pebblebrook’s Curator Hotel & Resort Collection banner. PEB’s stock price closed at $16.75 per share on Thursday, June 23, down from $23.81 one year ago.
—Katie Sloan