The previously announced deal for a 51-hotel, 6,848 room portfolio from a JV comprised of Cerberus Capital and Chatham had a combined purchase price of $1.3B, prior to a capital expenditure reserve credit to the buyer of $39.7M.
Also part of the seller's group, Chatham experienced a non-GAAP economic gain of about $80M, or more than $3 per share. Chatham expects to recognize $54M of this in Q2.
A conference call is planned for June 17 at 10 ET.
Source: Press release