Dive Brief:
- Braemar Hotels & Resorts has entered into a definitive agreement to sell the Four Seasons Resort Scottsdale in Arizona for $372 million, advancing its separation from Ashford Inc. and transition to become a self-managed real estate investment trust, the company announced Thursday.
- The transaction, anticipated to close Oct. 22, comes after Braemar sold other hotels this summer to deleverage its portfolio. In July, the REIT sold The Ritz-Carlton Sarasota in Florida as well as the Hotel Yountville and the Bardessono Hotel and Spa, both in Yountville, California, for a total of $437.5 million, per a Thursday release. In August, Braemar sold the 142-key Pier House Resort & Spa in Key West, Florida, for $190 million.
- The sales of these assets, in conjunction with other planned refinancings, are expected to generate sufficient funds to pay the remainder of fees owed to Ashford to finalize the pair’s separation, according to the release. Braemar anticipates being its own entity by mid-November, having also resolved a dispute with its largest shareholder, Al Shams Investments Limited.
Dive Insight:
In addition to the Four Seasons sale, Braemar announced Thursday it has reached a cooperation and settlement agreement with Al Shams, under which the shareholder will withdraw its nomination of candidates for election to Braemar’s board of directors.
Last month, Al Shams submitted the nominations amid its clash with Braemar over the trust’s decision to split from Ashford and become self-managed following a monthslong strategic review process.
The settlement agreement, which was filed with the U.S. Securities and Exchange Commission, “provides for customary standstill and voting commitments, as well as settling all outstanding legal disputes between the parties,” per the release.
With the Four Seasons under contract and the settlement agreement in place, Braemar is on schedule to complete its transition to self-management, according to CEO Richard Stockton. The REIT will begin its next chapter with an in-house team and a “focused portfolio of seven irreplaceable hotels,” Stockton said in an investor presentation dated October 2026.
According to the presentation, upon completion of its management spinout, Braemar’s executive team will include Stockton as CEO, Justin Coe as CFO and chief accounting officer, Robert Haiman as chief legal officer, Nathan Schupp as senior vice president of corporate finance, Elizabeth Lloyd as senior vice president and head of asset management, and Adam Tegge as senior vice president of investments.
Meanwhile, the REIT’s portfolio will include:
- The Ritz-Carlton Reserve Dorado Beach in Puerto Rico
- The Ritz-Carlton, St. Thomas in the U.S. Virgin Islands
- Capital Hilton in Washington, D.C.
- The Notary Hotel, Autograph Collection in Philadelphia
- Sofitel Chicago Magnificent Mile in Chicago
- The Ritz-Carlton, Lake Tahoe in California
- Cameo Beverly Hills, LXR Hotels & Resorts in California
Five of the hotels are positioned in the luxury segment, while two sit in the upper upscale chain scale, per the investor presentation.
“Current sector tailwinds and strong fundamentals support our luxury hotel investment strategy,” Stockton said. Going forward, he added, Braemar “will remain disciplined and deliberate in evaluating opportunities to add complementary properties to our portfolio while maintaining our focus on the luxury hotel segment.”
Braemar is scheduled to hold its annual stockholders meeting on Dec. 21, per the release.
