Tuesday, March 07, 2006

Accor Announces $370 Million Sale-Manageback of Six US Sofitel Hotels

PRNewswire - March 6, 2006

Accor (OTC: ACRFF) announces the agreement to sell a portfolio of six US Sofitel hotels for $370 million to a joint venture comprised of GEM Realty Capital, Whitehall Street Global Real Estate Limited Partnership 2005 and Accor. The six hotels, totalling 1,931 rooms, are located in the major metropolitan markets of Chicago, Los Angeles, Miami, Minneapolis, San Francisco Bay and Washington D.C.

Accor will remain a 25% shareholder in the joint venture and will continue to manage the hotels under the Sofitel brand name through a 25 year contract. The transaction is in line with Accor's asset management strategy in the upper upscale segment, which is to reduce capital intensity and earnings volatility through 'sale and management back' transactions. Sphere: Related Content

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