Host Hotels & Resorts, a Bethesda, Maryland-based real estate investment trust, is exploring divestment of a large portfolio of non-core hotels.
Bloomberg reported citing sources familiar with the matter that the REIT has interviewed advisers on the possibility of a divestment.
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Particular details on what kind hotels would be included in the portfolio are yet to be finalised.
According to the sources, the total value of the non-core hotels may even cross $2bn.
If the portfolio enters the market, acquirers will be able to buy either as one single whole or just as a part.
In March, the company purchased three properties from Hyatt Hotels for $1bn. It also has divested non-core assets.
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By GlobalDataHost’s stock-market value stood at $15.5bn in March.
Host Hotels & Resorts chief executive officer Jim Risoleo was quoted by the news agency as saying that it expected to close on its divestment of the W New York for $190m.
The REIT completed the sale of the Key Bridge Marriott in Arlington, Virginia only earlier this year.
In 2017, the company divested Sheraton Indianapolis Hotel for $66m and the Hilton Melbourne South Wharf for $184m.
It has also been reinjecting capital in some of its other hotel properties. It has invested on renovations at the San Francisco Marriott Marquis and the Phoenician resort in Arizona, and the Ritz-Carlton Naples in Florida.
In April this year, Host Hotels & Resorts entered into a joint development agreement with IBM Research to improve its predictive analytics capabilities which would help in investment decisions.
The two companies will develop predictive models by leveraging IBM Watson APIs and research expertise in natural language processing and machine learning to draw predictive insights from data, both structured and unstructured.
