La JOLLA, CA—Strategic Hotels & Resorts, Inc., along with its joint-venture partner, has signed an agreement with affiliates of Walton Street Capital, L.L.C. and JMA Ventures LLC to sell a 100% interest in the 417-room Hyatt Regency La Jolla for $118 million.

The company currently owns a 53.5% interest in the asset. At closing, the joint venture will retire $89.2 million of debt secured by the hotel, which is currently consolidated on Strategic's balance sheet. The transaction, which is subject to certain closing conditions, is expected to close in the second quarter of 2015." The sale of the Hyatt Regency La Jolla is consistent with our disciplined capital allocation strategy to divest of non-core assets and deleverage the company's balance sheet," said Raymond Gellein, chairman and CEO of Strategic Hotels & Resorts.

Strategic is a REIT which owns and provides value-enhancing asset management of high-end hotels and resorts in the United States. Walton Street Capital, L.L.C. is a private equity real estate firm based in Chicago. JMA Ventures LLC is a full service San Francisco-based investment and real estate development company with in-house acquisition, development, finance, leasing, marketing and management capabilities.