Portfolio Re-Investment and Growth Opportunities Presentation
COMPANY
OVERVIEW
RECENT
HIGHLIGHTS
1 Hotel Nashville and
PORTFOLIO
UPDATE
GROWTH
OPPORTUNITIES
CORPORATE
RESPONSIBILITY
RECONCILIATIONS &
SUPPLEMENTAL INFO
Embassy Suites by Hilton Nashville Downtown
ACQUISITION RATIONALE
Strong 2024E EBITDA multiple of 12.6x with targeted stabilized
EBITDA multiple of 10x - 12x in 2026 - 2028 (1)
New construction certified LEED Silver opened in summer of 2022;
no disruptive capex expected in the near-term
Enhances overall Host portfolio quality; each property is expected to
rank within Host's top-25 assets on 2024E RevPAR, TRevPAR, and
EBITDA/key (see next slide)
Well-located in downtown Nashville, directly across from the 1.5M
SF Music City Convention Center; within blocks of live entertainment
on Lower Broadway and Bridgestone Arena; within a 10-minute
drive of Nissan Stadium, two top universities, Country Music Hall of
Fame Museum, and Centennial Park
New market for Host's consolidated portfolio improves geographic
diversification
Nashville's 2000-2023 RevPAR CAGR was an impressive 7.7% (2) while
absorbing new supply; #2 ranked convention market in the US
Nashville's BNA airport is the fastest growing airport in the US, with
current passenger traffic 33% more than 2019. $1.5 billion expansion
was recently completed with another $1.5 billion expansion
underway, targeting completion in 2028.
1
HOTEL
1)
2)
Consistent with industry practice, we calculate the EBITDA multiple as the ratio of the purchase price to the property's EBITDA. EBITDA is a non-GAAP
financial measure. For 1 Hotel Nashville and Embassy Suites by Hilton Nashville Downtown, the comparable GAAP metric using net income is the
ratio of the purchase price to 2024 forecast net income of 23x, and the comparable GAAP metric using forecast stabilized net income is the ratio of
the purchase price to stabilized net income of 19x. Stabilized results are illustrative only. Our ability to achieve the 2026-2028 stabilized results is
subject to various uncertainties and actual results may be materially different; see slide 2 for factors that may cause results to be materially different
from these targets. Reconciliation of net income to EBITDA is available at the end of this presentation.
Source: STR, Inc. a CoStar company, Host Hotels & Resorts Enterprise Analytics, Strategic Insight; April 2024.
2024 Host Hotels & Resorts, Inc.View entire presentation