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Pebblebrook Hotel Trust Provides Update on Property Sales and Strategic Property Redevelopment Plan

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BETHESDA, Md.–(BUSINESS WIRE)–$PEB #PEB–Pebblebrook Hotel Trust (NYSE: PEB) (the “Company”) today announced that
it executed a contract to sell the 132-room Hotel Amarano Burbank in Los
Angeles, California for approximately $72.9 million to a third party.

The contracted sale price reflects a 15.8x EBITDA multiple and a 5.7%
net operating income capitalization rate (after an assumed annual
capital reserve of 4.0% of total hotel revenues) based on the hotel’s
operating performance for 2018. Based on the trailing 12-month period
ended March 2019, the contracted sales price reflects a 16.9x EBITDA
multiple and a 5.3% net operating income capitalization rate (after an
assumed annual capital reserve of 4.0% of total hotel revenues). Both
the EBITDA multiples and net operating income capitalization rates are
adjusted for the estimated annualized impact of real estate taxes for
California’s Proposition 13.

The sale of Hotel Amarano Burbank is subject to normal closing
conditions, and the Company offers no assurances that this sale will be
completed on these terms, or at all. The Company is targeting to
complete the sale in the third quarter of 2019 and continues to be
encouraged with pricing levels and overall buyer interest in the
investment markets. Following the completion of the sale, the Company’s
estimated total net debt to trailing 12-month corporate EBITDA ratio
will decline to approximately 4.6 times.

The Company also continues to make progress on its strategic property
redevelopment plan and provided the following updates:

  • Mason & Rook Hotel: On July 1, 2019, Viceroy Hotels &
    Resorts will become the third-party operator of this 178-room
    upper-upscale hotel in downtown Washington, D.C. Following the
    completion of a comprehensive property renovation and improvement
    program by early 2020, the hotel will become Viceroy Hotel Washington,
    D.C., a part of the luxury Viceroy Hotels & Resorts brand family; and
  • Donovan Hotel: On July 1, 2019, Viceroy Hotel & Resorts will
    become the third-party operator of this 193-room upper-upscale hotel
    in downtown Washington, D.C. The Company plans to reconcept, redevelop
    and relaunch this hotel as part of the “Unofficial Z Collection” in
    2020.

“We are very excited to bring Viceroy to Washington, D.C. to manage
these two unique lifestyle hotels, which have so much upside potential,”
noted Jon E. Bortz, Chairman, President and Chief Executive Officer of
Pebblebrook Hotel Trust. “We expect that Viceroy will generate
significant long-term revenue improvement and increased operating
efficiencies at both of these hotels, given their extensive experience
operating urban lifestyle hotels including Viceroy Santa Monica, Hotel
Zeppelin, Hotel Zelos and Hotel Zetta for our company. In addition to
bringing the luxury Viceroy brand to D.C., we are also excited to create
our first ‘Unofficial Z Collection’ hotel on the east coast following
the comprehensive and transformative redevelopment and renovation of
Donovan Hotel.”

About Pebblebrook Hotel Trust

Pebblebrook Hotel Trust (NYSE: PEB) is a publicly traded real estate
investment trust (“REIT”) and the largest owner of urban and resort
lifestyle hotels in the United States. The Company owns 60 hotels,
totaling approximately 14,500 guest rooms across 16 urban and resort
markets with a focus on the west coast gateway cities. For more
information, visit www.pebblebrookhotels.com
and follow us at @PebblebrookPEB.

For further information about the Company’s business and financial
results, please refer to the “Management’s Discussion and Analysis of
Financial Condition and Results of Operations” and “Risk Factors”
sections of the Company’s SEC filings, including, but not limited to,
its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q,
copies of which may be obtained at the Investor Relations section of the
Company’s website at
www.pebblebrookhotels.com.

This press release contains certain “forward-looking statements” made
pursuant to the safe harbor provisions of the Private Securities Reform
Act of 1995.
Forward-looking statements are generally
identifiable by use of forward-looking terminology such as “may,”
“will,” “should,” “potential,” “intend,” “expect,” “seek,” “anticipate,”
“estimate,” “approximately,” “believe,” “could,” “project,” “predict,”
“forecast,” “continue,” “assume,” “plan,” references to “outlook” or
other similar words or expressions. Forward-looking statements are based
on certain assumptions and can include future expectations, future plans
and strategies, financial and operating projections and forecasts and
other forward-looking information and estimates.
Examples of
forward-looking statements include the following: the Company’s net debt
and EBITDA; descriptions of the Company’s plans; forecasts of the
Company’s future economic performance and its share of future markets;
forecasts of hotel industry performance; and descriptions of assumptions
underlying or relating to any of the foregoing expectations including
assumptions regarding the timing of their occurrence.
These
forward-looking statements are subject to various risks and
uncertainties, many of which are beyond the Company’s control, which
could cause actual results to differ materially from such statements.

These risks and uncertainties include, but are not limited to, the
state of the U.S. economy and the supply of hotel properties, and other
factors as are described in greater detail in the Company’s filings with
the Securities and Exchange Commission, including, without limitation,
the Company’s Annual Report on Form 10-K for the year ended December 31,
2018.
Unless legally required, the Company disclaims any
obligation to update any forward-looking statements, whether as a result
of new information, future events or otherwise.

For further information about the Company’s business and financial
results, please refer to the “Management’s Discussion and Analysis of
Financial Condition and Results of Operations” and “Risk Factors”
sections of the Company’s SEC filings, including, but not limited to,
its Annual Report on Form 10-K and Quarterly Reports on Form 10-Q,
copies of which may be obtained at the Investor Relations section of the
Company’s website at
www.pebblebrookhotels.com.

All information in this press release is as of June 3, 2019. The
Company undertakes no duty to update the statements in this press
release to conform the statements to actual results or changes in the
Company’s expectations.

For additional information or to receive press releases via email,
please visit our website at
www.pebblebrookhotels.com

 
Pebblebrook Hotel Trust
Amarano Hotel Burbank
Reconciliation of Hotel Net Income to Hotel EBITDA and Hotel Net
Operating Income
Trailing Twelve Months
(Unaudited, in millions)
 

Twelve months ended

December 31,

2018
 
Hotel net income $ 2.7
 
Adjustment:
Depreciation and amortization 1.9
 
Hotel EBITDA $ 4.6  
 
Adjustment:
Capital reserve (0.4 )
 
Hotel Net Operating Income $ 4.1  
 

This press release includes certain non-GAAP financial measures
as defined under Securities and Exchange Commission (SEC) rules.
These measures are not in accordance with, or an alternative to,
measures prepared in accordance with U.S. generally accepted
accounting principles, or GAAP, and may be different from non-GAAP
measures used by other companies. In addition, these non-GAAP
measures are not based on any comprehensive set of accounting
rules or principles. Non-GAAP measures have limitations in that
they do not reflect all of the amounts associated with the hotel’s
results of operations determined in accordance with GAAP.

 

The Company has presented trailing twelve-month hotel EBITDA
and trailing twelve-month hotel net operating income after capital
reserves and an estimated adjustment for the annualized impact of
real estate taxes for California’s Proposition 13 because it
believes these measures provide investors and analysts with an
understanding of the hotel-level operating performance. These
non-GAAP measures do not represent amounts available for
management’s discretionary use, because of needed capital
replacement or expansion, debt service obligations or other
commitments and uncertainties, nor are they indicative of funds
available to fund the Company’s cash needs, including its ability
to make distributions.

 

The Company’s presentation of the hotel’s trailing twelve-month
EBITDA and trailing twelve-month net operating income after
capital reserves should not be considered as an alternative to net
income (computed in accordance with GAAP) as an indicator of the
hotel’s financial performance. The table above is a reconciliation
of the hotel’s trailing twelve-month EBITDA and net operating
income after capital reserves calculations to net income in
accordance with GAAP. Any differences are a result of rounding.

 
 
Pebblebrook Hotel Trust
Amarano Hotel Burbank
Reconciliation of Hotel Net Income to Hotel EBITDA and Hotel Net
Operating Income
Trailing Twelve Months
(Unaudited, in millions)
 

Twelve months ended

March 31,

2019
 
Hotel net income $ 2.4
 
Adjustment:
Depreciation and amortization 1.9
 
Hotel EBITDA $ 4.3  

 

Adjustment:
Capital reserve (0.4 )
 
Hotel Net Operating Income $ 3.9  
 

This press release includes certain non-GAAP financial measures
as defined under Securities and Exchange Commission (SEC) rules.
These measures are not in accordance with, or an alternative to,
measures prepared in accordance with U.S. generally accepted
accounting principles, or GAAP, and may be different from non-GAAP
measures used by other companies. In addition, these non-GAAP
measures are not based on any comprehensive set of accounting
rules or principles. Non-GAAP measures have limitations in that
they do not reflect all of the amounts associated with the hotel’s
results of operations determined in accordance with GAAP.

 

The Company has presented trailing twelve-month hotel EBITDA
and trailing twelve-month hotel net operating income after capital
reserves and an estimated adjustment for the annualized impact of
real estate taxes for California’s Proposition 13 because it
believes these measures provide investors and analysts with an
understanding of the hotel-level operating performance. These
non-GAAP measures do not represent amounts available for
management’s discretionary use, because of needed capital
replacement or expansion, debt service obligations or other
commitments and uncertainties, nor are they indicative of funds
available to fund the Company’s cash needs, including its ability
to make distributions.

 

The Company’s presentation of the hotel’s trailing twelve-month
EBITDA and trailing twelve-month net operating income after
capital reserves should not be considered as an alternative to net
income (computed in accordance with GAAP) as an indicator of the
hotel’s financial performance. The table above is a reconciliation
of the hotel’s trailing twelve-month EBITDA and net operating
income after capital reserves calculations to net income in
accordance with GAAP. Any differences are a result of rounding.

 

Contacts

Raymond D. Martz, Chief Financial Officer, Pebblebrook Hotel Trust –
(240) 507-1330

Cannabis

IMCC Appoints Yaron Berger as CEO of IMC Holdings

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Photo source: deutschlandfunkkultur.de

 

IM Cannabis Corp. (the “Company” or “IMCC”) (CSE: IMCC), one of the world’s pioneering medical cannabis companies with operations across Europe, is pleased to announce the appointment of Yaron Berger as Chief Executive Officer of I.M.C. Holdings Ltd. (“IMC“), the Company’s wholly-owned operating subsidiary in IsraelOren Shuster will remain the Chief Executive Officer of IM Cannabis Corp.

Mr. Berger brings more than 10 years of experience in various senior roles both in public and private sectors, leading large-scale operations. Most recently, Mr. Berger was the Chief Executive Officer of Telepharma Ltd. (“Telepharma,” doing business as epharma), a leading wholesaler, direct marketer of prescription drugs and chain of pharmacies in Israel. At Telepharma, among other accomplishments, Mr. Berger re-branded its digital platform and transformed the customer experience. As an early entrant into the medical cannabis sector, Mr. Berger also established Greenpharma under Telepharma, a full-service distributor, patient counselling service provider and online resource for medical cannabis patients in Israel. Prior to his experience in the pharmaceutical sector, Mr. Berger served as the Chief Operating Officer of the National Police Academy and spent over 20 years in the Israeli Air Force, most recently as a Lieutenant Colonel.

Oren Shuster, Chief Executive Officer of IMCC said “Yaron is uniquely qualified to lead our Israeli operations under the new medical cannabis regulatory regime, which requires a high level of engagement and education for the country’s pharmacists on the benefits of medical cannabis. Yaron was an early mover in identifying the opportunity in medical cannabis and we are very excited to benefit from his expertise in the pharmacy channel to maintain IMC’s status as a leading medical cannabis brand in Israel.”

“I am thrilled to be joining the IMC team, who I have known as a leader in the medical cannabis market in Israel over the past ten years,” said Mr. Berger. “The IMC brand is synonymous with quality and innovation. The new medical cannabis reform in Israel presents a significant opportunity for the Company and the IMC brand to further elevate its market position as the preferred medical cannabis brand for physicians, pharmacists and patients.”

 

SOURCE IM Cannabis Corp.

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LCBO’s bottom line proves privatized alcohol sales a bad idea: OPSEU’s Thomas

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Photo source: LCBO.com

The LCBO’s latest profits show the Crown corporation’s value to the people of Ontario, OPSEU President Warren (Smokey) Thomas said Friday.

In its 2018/2019 annual report released Thursday, the LCBO is reporting earnings of $2.37 billion on total revenue of $6.39 billion.

Thomas said those profits go to the provincial government and pay for vital public services like health, education and highways.

“This is why the Ford government should rethink allowing corner stores and grocery stores to sell more alcohol,” said Thomas.  “Is saving folks a 10 minute drive in some cases worth jeopardizing their health care?”

OPSEU represents LCBO workers and Thomas says these frontline professionals deserve the credit for the corporation’s continued success.

“The reason the LCBO is the gold standard in selling alcohol responsibly is because of OPSEU members who make sure alcohol isn’t sold to minors or intoxicated people,” said Thomas.

“They also provide customer service that is second to none and they’re the ones who have made the LCBO a success story.”

As he read the LCBO report, OPSEU First Vice-President/Treasurer Eduardo (Eddy) Almeida reflected on the Ford government’s decision to take the sale of legalized cannabis away from the Crown Corporation.

“Think of what the LCBO’s profits would have been if Premier Ford hadn’t scrapped the plan of the former Liberal government?” said Almeida.   “I’ve put together a lot of budgets and I know how tough an exercise it is.”

“It still makes me shake my head that a government that claimed it had catastrophic financial problems would turn down massive amounts of revenue and go on the misguided course that the Conservatives took. Really? Wow.”

Almeida says municipalities who voted to opt out of Doug Ford’s foolish cannabis privatization plan should stand firm and demand a responsible plan.

“The LCBO continues to prove it’s the best option to keep controlled substances out of the hands of minors,” said Almeida.  “Municipalities and Ontarians in general should continue to demand a responsible plan and just say no to Doug’s. After all, a little competition wouldn’t be a bad thing would it?”

SOURCE Ontario Public Service Employees Union (OPSEU)

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Cannabis

Base Oil Market Worth $39.6 Billion by 2024 – Exclusive Report by MarketsandMarkets™

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According to the new market research report Base Oil Market by Group (Group I, Group II, Group III, Group IV, Group V), Application (Automotive Oil, Industrial Oil, Hydraulic Oil, Grease, Metalworking Fluid), Region (North AmericaEuropeAsia PacificSouth America, MEA) – Global Forecast to 2024″, published by MarketsandMarkets, the Base Oil Market is projected to grow from USD 33.7 billion in 2019 to USD 39.6 billion by 2024, at a CAGR of 3.3% from 2019 to 2024. The growing demand for high-grade oils in the automotive industry, as well as the increasing GDP in Asia Pacific driven by increasing industrial activities are key factors fuelling the growth of the base oil market across the globe.

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Browse in-depth TOC on “Base Oil Market”
150 – Tables
110 – Figures
480 – Pages

View Detailed Table of Content Here: https://www.marketsandmarkets.com/Market-Reports/base-oil-market-203695851.html

Group II segment to lead the base oil industry from 2019 to 2024

Based on group, the base oil market has been segmented into Group I, Group II, Group III, Group IV, and Group V. The Group II segment accounted for the major share of the market in 2018. Group II base oil can be employed in a multitude of applications, such as marine and gas engines, in trunk piston engine oils, and other applications in the base oil industry. The high consumption of Group II base oil is mainly attributed to its higher performance and affordability in comparison to the other groups of base oil. Thus, the Group II segment is likely to lead the market during the forecast period.

Automotive oil application segment to lead the base oil market during the forecast period

Based on application, the automotive oil segment led the base oil industry in 2018. This segment is also expected to witness significant growth during the forecast period owing to the rise of the automotive sector in developing countries, such as India and China. Population growth in the Asia Pacific region is increasing the demand for automobiles, which is, in turn, driving the market for automotive oils.

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Asia Pacific base oil market projected to witness the highest CAGR

Among regions, the Asia Pacific base oil market is projected to register the highest CAGR from 2019 to 2024. IndiaChinaIndonesia, and Japan are key countries contributing to the increased demand for lubricants, and in effect base oil, in this region. Increasing GDP led by the rising industrial activities in Asia Pacific has increased the demand for base oil in the region. The growth of transportation, power generation, mining, and other sectors is also responsible for the rise in demand for base oil in the Asia Pacific region.

Chevron Corporation (US), Exxon Mobil Corporation (US), S-OIL Corporation (South Korea), Motiva Enterprises LLC (US), SK innovation Co., Ltd. (South Korea), Royal Dutch Shell plc (Netherlands), Neste Oyj (Finland), AVISTA OIL AG (Germany), Nynas AB (Sweden), Repsol S.A. (Spain), Ergon, Inc. (US), Calumet Specialty Products Partners, L.P. (US), H&R Group (Germany), Sinopec Corp. (China), PetroChina Company Limited (China), Saudi Aramco (Saudi Arabia), Abu Dhabi National Oil Company (ADNOC) (UAE), PT Pertamina (Persero) (Indonesia), Phillips 66 (US), Petroliam Nasional Berhad (PETRONAS) (Malaysia), GRUPA LOTOS S.A. (Poland), Sepahan Oil (Iran), GS Caltex Corporation (South Korea), and Hindustan Petroleum Corporation Limited or HPCL (India) are some of the leading players operating in the Base Oil Market. These players have adopted the strategies of agreements, expansions, new product launches, acquisitions, collaborations, contracts, investments, and divestments to enhance their position in the market.

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Related Reports :

Lubricants Market

by Base Oil (Mineral Oil, Synthetic Oil, Bio-based Oil), Product Type (Engine Oil, Hydraulic Fluid, Metalworking Fluid), Application (Transportation and Industrial lubricants), Region – Global Forecast to 2024

Industrial Lubricants Market by Base oil (Mineral Oil, Synthetic Oil, Bio-based Oil), Product Type (Hydraulic Fluid, Metalworking Fluid), End-use Industry (Construction, Metal & Mining, Power Generation, Food Processing), Region – Global Forecast to 2024

 

SOURCE MarketsandMarkets

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