Pebblebrook sells Chamberlain West Hollywood for $43.5m at 5.9% cap rate
PEB•Pebblebrook Hotel Trust sold its 115-room Chamberlain West Hollywood hotel for $43.5m, generating $3m in EBITDA and $2.6m in NOI over the year ended April 2026. The deal implied a 14.5× EBITDA multiple and 5.9% cap rate, with proceeds earmarked to reduce net debt and repurchase shares.
1. Sale Details
Pebblebrook completed the sale of its 115-room Chamberlain West Hollywood hotel in Los Angeles for $43.5m. The property delivered $3m in EBITDA and $2.6m in NOI over the 12 months ended April 2026, implying a 14.5× EBITDA multiple and a 5.9% capitalization rate.
2. Capital Management Impact
Proceeds from the sale will be used to reduce outstanding net debt and preferred equity, and to repurchase common shares. As partial payment, the company accepted preferred shares with a $33.7m liquidation preference at a 23% discount, cutting outstanding preferred equity to $720.6m.
3. Guidance Update
Pebblebrook removed the hotel from same-property metrics and revised its 2026 guidance to EBITDAre of $334.5m–$346.5m and FFO of $184m–$196m. Second-quarter net income is now forecast at $18.8m–$22.8m.
