Braemar Hotels & Resorts Inc. has agreed to sell the Four Seasons Resort Scottsdale in Scottsdale, Arizona, for $372 million, according to hotelbusiness.com. The deal values the property at about $1.8 million per guest room and includes a $10 million nonrefundable earnest money deposit. The sale is scheduled to close on October 22, 2026, subject to prorations and adjustments. Including projected capital expenditures of $23 million, the transaction reflects a capitalization rate of 6.2% based on net operating income through August 2026.
Hotel Dispositions Fund Braemar’s Separation from Ashford
This sale follows several 2026 hotel asset dispositions by Dallas-based Braemar Hotels & Resorts. In July, Braemar sold
The Ritz-Carlton Sarasota, Hotel Yountville, and Bardessono Hotel and Spa for a combined $437.5 million, approximately $1 million per key. In August, the Pier House Resort & Spa was sold for $190 million, roughly $1.3 million per key. Proceeds from these transactions, along with planned refinancing, are intended to finance termination fees owed to Ashford Inc. and to support Braemar’s transition to become a self-managed real estate investment trust. The company aims to complete this restructuring by mid-November 2026.
Post-Sale Portfolio and Financial Plans
After the sale of Four Seasons Resort Scottsdale, Braemar’s portfolio will include seven properties: Ritz-Carlton Reserve Dorado Beach in Puerto Rico;
The Ritz-Carlton, St. Thomas in the U.S. Virgin Islands; Capital Hilton in Washington, DC; The Notary Hotel, Autograph Collection in Philadelphia; Sofitel Chicago Magnificent Mile; The Ritz-Carlton, Lake Tahoe, California; and Cameo Beverly Hills, LXR Hotels & Resorts, California.
Through the transition to self-management, Braemar expects to reduce annual corporate general and administrative expenses from around $42 million to $15 million, representing over $25 million in annual savings. The company also plans targeted refinancing transactions within the next three to six months to lower weighted-average interest rates by more than 150 basis points. These refinancing efforts are projected to yield
$4.8 million to $5.5 million in interest savings in 2027 while extending debt maturities. On a pro forma basis, Braemar forecasts a reduction of net debt as a percentage of gross assets from approximately 50% to 36%.
Forward Booking Trends and 2027 Financial Outlook
Braemar reported positive forward booking patterns across its remaining portfolio, with revenue pace for the following 12 months approximately 25% ahead of the prior year as of September 2026. Average daily rate increased about 27%, while on-the-books occupancy was slightly below year-ago levels. For 2027, the company projects revenue per available room growth between 4.5% and 6.5%, with comparable RevPAR ranging from $354
to $361. Total revenue is expected to fall between $407 million and $412 million, with comparable hotel EBITDA margins from 24.5% to 25.4%. Adjusted EBITDAre is projected at $85 million to $90 million, and GAAP net loss is forecast between $6 million and $11 million.
Richard Stockton, president and CEO of Braemar Hotels & Resorts, said, “With Four Seasons Resort Scottsdale under contract and our transition to self-management on schedule, Braemar is well positioned to deliver long-term value for our shareholders.” He added, “Current sector tailwinds and strong fundamentals support our luxury hotel investment strategy. We have consistently demonstrated an
ability to grow selectively and accretively.”
Cooperation with Largest Shareholder and Industry Context
Braemar reached a cooperation and settlement agreement with its largest shareholder, Al Shams Investments Limited, under which Al Shams withdrew its board nomination notices for the 2026 annual stockholder meeting. This agreement includes voting and standstill commitments and resolves outstanding legal disputes.
In 2026, the hotel industry showed strong performance linked to increased business travel and global events, including the World Cup. Hotel occupancy rose by 80 basis points year-over-year through the second quarter, driven by demand outpacing new supply. Average daily rates increased by 4.4%, contributing to a 5.7% year-over-year gain in RevPAR.
Although occupancy remains below pre-pandemic 2019 levels, most markets recorded positive RevPAR growth, reinforcing Braemar’s strategy focused on luxury hotel assets.
