JW Marriott San Antonio Resort Hotel Sold for $800M

JW Marriott San Antonio Resort Hotel Sold for $800M camreo

Ryman Hospitality Properties has reached an agreement to purchase the JW Marriott San Antonio Hill Country Resort & Spa from Blackstone for $800 million. This transaction marks one of the largest single-asset hotel deals in the United States during the pandemic period.

The luxurious JW Marriott San Antonio boasts over 1,000 rooms, a world-class spa, two championship golf courses, and an expansive 268,000 square feet of versatile meeting space.

Resort properties have thrived amidst the pandemic, with a surge in demand from individuals seeking drive-to destinations with ample outdoor amenities. Furthermore, the rebound of the convention industry and the growing popularity of retreats and business events have further propelled the success of resort properties. The JW Marriott San Antonio has perfectly capitalized on these trends, attracting both leisure travelers and business clientele.

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Situated between San Antonio and Austin, the resort has become a sought-after destination due to its extensive amenities, including renowned golf courses, a sprawling 9-acre River Bluff water experience, and captivating attractions across its 640-acre grounds. Notably, the resort has experienced a strong resurgence in convention bookings and business travel, reaching pre-pandemic levels.

The JW Marriott San Antonio, owned by Blackstone Real Estate Investment Trust (BREIT), is set to generate a significant profit of $275 million when the sale concludes later this year. This profit encompasses the sale proceeds and a notable 25% increase in cash flows over the five-year ownership period by Blackstone.

The largest single asset hotel deal during the pandemic was the $835 million sale of the Diplomat Beach Resort in south Florida by Brookfield Asset Management. The buyer, Trinity Investments and Credit Suisse Asset Management, acquired the oceanfront property comprising 1,000 rooms.

BREIT, known for its diverse real estate holdings, including apartments, industrial properties, and resort hotels, has been actively divesting commercial properties and has sold or contracted to sell approximately $9 billion worth of assets since January 2022. Ryman Hospitality Properties has expressed its intention to continue operating the San Antonio resort under the esteemed JW Marriott brand.