Braemar targets $25 million-plus annual G&A savings as it ends Ashford advisory fees in self-management shift
BHR•Braemar Hotels & Resorts is ending its external advisory relationship with Ashford as it transitions to self-management. It targets annual corporate G&A, including advisory and related fees, of about $15 million, down from about $42 million, and expects more than $25 million in annual savings.
1. Self-management transition
Braemar Hotels & Resorts moved to end its external advisory relationship with Ashford as it transitions to a self-managed REIT. Annual corporate G&A, including advisory and related fees, is targeted to fall to about $15 million from about $42 million, with more than $25 million in annual savings expected after the advisory arrangement ends.
2. Separation costs
Braemar expects to complete the separation by mid-November. Asset sales, including the Four Seasons Resort Scottsdale deal, are earmarked to fund remaining separation-related fees owed to Ashford.
