The REIT Modernization Act gives real estate investment trusts like Winston the right to own the leases on their own hotels. With that in mind, Interstate signed over the leases on 47 Winston properties to Winston Hotels on July 1 of last year, while holding on to the management duties on 33 of those 47 hotels. However, the act also gives Winston the opportunity to end the management contracts after one year and Winston is doing just that.
There are no hard feelings. "We have enjoyed our relationship with Winston and continue on good terms with the company and its management," Interstate president and COO John Emery says. The entire deal left Interstate with about $17 million.
Continue Reading for Free
Register and gain access to:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
