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 ups quarterly dividend by 4.3% to 7c Hersha Hospitality announced that its Board of Trustees declared an increased quarterly cash dividend of 7c per Common Share and per Limited Partnership Unit for the Q3 ending September 30. The increased dividend represents an annualized run rate of 28c per share and a 4.3% yield based on the closing share price on September 19. Hersha’s increased dividend per Common Share and per Limited Partnership Unit reflects cash flow growth from the ramp-up and stabilization of strategic acquisitions and development projects delivered into the company’s consolidated portfolio. The Common Share Dividend and Limited Partnership Unit distribution are payable October 15 to holders of record as of October 2.