Starwood Hotels & Resorts Worldwide, Inc. announced today that it has completed the sale of two domestic hotels. The Sheraton Russell in Manhattan has been sold to an entity of SJP Residential Properties based in Parsippany, New Jersey for more than $40 million. Sheraton will continue to operate the 146-room hotel located at the corner of Park Avenue and 37th Street. The 206-room Four Points by Sheraton Rancho Bernardo in San Diego has been sold to Dimension Development Co., Inc. for more than $18 million. Combined, the sales proceeds from both transactions represent an EBITDA multiple of 16.
Since 2003, Starwood has sold more than $1.1 billion worth of assets. The $58 million from these latest sales are part of an additional $500 million the Company has committed to sell by the middle of 2005. The Company expects to use proceeds for share repurchase and for general corporate purposes.