Ashford Hospitality Trust offloads Virginia hotel for $58M

Apr 9

Written By Marina Parrish

Ashford Hospitality Trust has sold a Hilton hotel in Alexandra, Virginia, for $58 million in an all-cash deal, per a recent U.S. Securities and Exchange Commission filing.
Ashford Alexandria LP, a subsidiary of the Dallas-based REIT, completed the sale of the 252-room, pet-friendly Hilton Alexandria Old Town to Chicago-based Lodging Capital Partners, per the March 31 filing. The company also paid around $32.5 million to repay the mortgage lender, initially secured by the hotel.
The sale aligns with Ashford’s strategy to offload assets from its portfolio in an effort to deleverage its balance sheet, while also improving cash flow and liquidity, Ashford President and CEO Stephen Zsigray previously said in a release. In November, the REIT sold three assets in Texas and Louisiana for nearly $70 million.
Ashford Hospitality, which owned about 68 hotels as of December 2025, has been selling properties at a steady clip as it furthers its strategy to shed its portfolio.” ~ by Noor Adatia
“The property asset involved in this transaction is a hotel located at 1767 King Street in Alexandria, VA. The hotel is the Hilton Alexandria Old Town, consisting of 252 rooms and a price of $58,000,000. This translates to a price per key of $230,159.00.
Summary of transaction details:
- Property Type: Hotel
- Transaction Amount: $58,000,000
- Market: Alexandria, VA
- Buyer: Lodging Capital Partners
- Seller: Ashford Hospitality Trust
- Keys: 252
- PPK: $230,159
The deal involved Lodging Capital Partners acquiring the property from Ashford Hospitality Trust. The seller recorded a significant loss on the property, having previously purchased it for $111,000,000 in 2018, resulting in a preliminary non-recurring loss and an operating income loss of $28.4 million in 2025.” ~ according to Traded.com
“Troubled hotel owner Ashford Hospitality Trust has extended a mortgage loan backing some of its most valuable U.S. hotels as it suspends shareholder dividends in an effort to preserve liquidity.
The Dallas-based real estate investment trust paid $10 million to extend its $723.6 million Highland mortgage loan backing 18 hotels in what executives have previously called its "most valuable pool of assets." The loan balance represents roughly 65% of the value of the undisclosed hotels included in the loan pool, with its final maturity date now being July 9, 2026.
The REIT also decided to suspend preferred dividends to preserve liquidity as it evaluates strategic alternatives for its business. In December, Ashford unveiled it was exploring its options, including a potential sale, to deleverage its business. The REIT, with 67 hotels in its portfolio, last reported it had $2.6 billion in loans.” ~ according to Candace Carlisle CoStar News