SAN ANTONIO — Sunstone Hotel Investors Inc. (NYSE: SHO) has agreed to acquire the 630-room Hyatt Regency San Antonio Riverwalk in San Antonio. An affiliate of Hyatt Hotels Corp. is selling the asset for $230 million.
The hotel is located centrally on San Antonio’s River Walk, a 15-mile pedestrian street that runs alongside the San Antonio River and is lined by restaurants, shops, museums and theaters. The site is adjacent to the $500 million Alamo Visitor Center and Museum development, which is currently under construction.
The hotel recently underwent $37 million in guest room renovations and offers amenities including a fitness center, swimming pool, spa and a 40,000-square-foot event space. The property is also home to a number of onsite restaurants, bars and shops.
The acquisition includes nearly two acres of riverfront land and a 516-space parking garage. The buyer expects to complete the transaction in late April.
Sunstone is funding the transaction through cash on hand, using a portion of the proceeds from the company’s $370 million disposition of the Boston Park Plaza hotel last October.
Hyatt will continue to manage the hotel under its Hyatt Regency banner and will pay approximately $8 million in advance to secure the management agreement as part of the transaction.
Sunstone Hotel Investors Inc. is an Aliso Viejo, Calif.-based lodging real estate investment trust. The company’s 14-property portfolio includes the Wailea Beach Resort in Hawaii; the Four Seasons Napa Valley; and the Montage Healdsburg in California’s wine country.
Sunstone’s stock price closed at $10.82 per share on Wednesday, April 10, up from $9.26 one year ago.
Headquartered in Chicago, Hyatt Hotels Corp. is a global hospitality corporation. The company’s portfolio included more than 1,300 hotels and all-inclusive properties in 77 countries as of December 31, 2023.
— Katie Sloan