IHG sells InterContinental Buckhead Atlanta

2nd Jul 2010 07:23

InterContinental Hotels (IHG) has sold the 422 room InterContinental Buckhead Atlanta to Maryland based Pebblebrook Hotel Trust for $105m in cash. IHG will continue to manage the hotel under a long term management contract. The group said the sale is part of its strategy of growing its management and franchise businesses and reducing capital intensity. Since 2003 IHG has disposed of 185 hotels globally with a combined net book value of $5.3bn and with proceeds in excess of net book value. Richard Solomons, Chief Financial Officer and Head of Commercial Development, said: "The sale of the InterContinental Buckhead Atlanta is a great example of our asset strategy in action.""We built the hotel using our own capital in 2004 to create a showcase for the brand in order to drive growth across the Americas. Since then we have signed 21 InterContinental hotels in the region. We are now able to recycle the capital we have invested in the building whilst maintaining a long term management contract with a great partner, reinforcing the strength of the brand."