Park Hotels to acquire Chesapeake Lodging for $2.7b

Park Hotels & Resorts has acquired Chesapeake Lodging Trust in a cash-and-stock deal valued at about $2.7 billion.

The combined company will have an estimated enterprise value of $12 billion and be the second biggest lodging REIT.

The deal is expected to close in late third quarter or early fourth quarter. Park is planning to sell five noncore hotels before closing.

Park Hotels’ portfolio of properties consists of 51 premium-branded hotels and resorts, which have more than 30,000 rooms throughout the United States. Chesapeake Lodging owns 20 hotels, which have a total of 6,288 rooms in eight U.S. states and the District of Columbia.