Hersha Hospitality to sell Hotel 373 in Manhattan for $37M Hersha Hospitality Trust has entered into a definitive agreement to sell the Hotel 373 located in midtown Manhattan. The 70 room hotel is being sold to an offshore investment group for $37M, or approximately $529,000 per key. The sale price values the hotel at $1,680 per square foot, and on 2013 operating results represents an economic capitalization rate of 5.2% and a hotel EBITDA multiple of 17.3x. The transaction is expected to close during the second quarter of 2014, and is subject to customary closing conditions, including the completion of the buyer’s due diligence.
Hersha Hospitality upgraded to Neutral at SunTrust As previously reported, SunTrust upgraded Hersha Hospitality to Neutral from Reduce. The firm upgraded shares base on relative underperformance and said the New York City market appears to have reached at bottom. Price target remains $6.50.