Ashford to Sell La Posada de Santa Fe for Nearly $58M, Bolstering Debt Reduction
Ashford Hospitality Trust agreed to sell La Posada de Santa Fe for nearly $58 million, generating an $8 million gain since its 2018 acquisition for $50 million. The sale is expected to close this month, with proceeds used to reduce debt and interest costs under the REIT’s strategic sales plan.
1. La Posada Sale Agreement
Ashford Hospitality Trust has entered a definitive agreement to sell its La Posada de Santa Fe hotel for nearly $58 million. The agreement, signed on Feb. 24, anticipates closing this month and remains subject to customary closing conditions with no guarantee of completion on stated terms.
2. Strategic Sales Strategy
Proceeds from the sale will be allocated toward reducing the REIT’s outstanding debt and lowering interest expenses as part of its strategic plan to enhance cash flow and shareholder returns through targeted property dispositions. Ashford has executed multiple asset sales in recent months under this program.
3. Property Background
La Posada de Santa Fe was originally built in 1882 as a private brick mansion and expanded with Pueblo Revival-style adobe casitas in the early 20th century. Ashford acquired the historic hospitality property nearly eight years ago for $50 million, aiming to leverage Santa Fe’s constrained hotel market.