News for the Hospitality Executive
SPOKANE, Wash., Sept. 5, 2012 -- Red Lion Hotels Corporation (NYSE: RLH) announced today it has sold for $9.0 million the Red Lion Hotel Sacramento at Arden Village. This hotel was previously leased to the buyer. As part of the transaction, the franchise agreement at that location will terminate and a new franchise will be added in Sacramento.
"This transaction supports our strategy to reduce debt, expand our franchise system and improve the competitive position of our hotels," said Jon E. Eliassen, President and Chief Executive Officer of Red Lion Hotels Corporation. "We sold our property in Sacramento and added a new franchise hotel with extensive meeting and banquet facilities that make it a much better fit in that market for the Red Lion brand going forward."
In November 2011, the company acquired ownership of the Red Lion Hotel Sacramento at Arden Village as part of an agreement with iStar Financial Inc. to purchase 10 previously leased hotels. The company has been leasing the property to a company owned by Kumar Sharma, which has now purchased the hotel from Red Lion. As part of the transaction, Sharma's subsidiary, Shri Vinayaka Hotel Inc., has signed a new franchise license agreement with Red Lion Hotels for the former Woodlake Hotel Sacramento, a property he also owns.
"Our new franchised property in Sacramento is in a wonderful location and is a great fit for our customers," said Ron Burgett, Executive Vice President of Lodging and Brand Development for Red Lion Hotels. "And, we are especially pleased to carry forward our business relationship with Mr. Sharma."
The new franchise, the Red Lion Hotel Woodlake Conference Center Sacramento, is located at 500 Leisure Lane on the scenic shores of a private lake, just three miles from the Sacramento city center. The full service hotel offers 306 guest rooms, 60,000 square feet of meeting space, a fitness center and an outdoor pool. The Lakeside Bar and Grille in the lobby of the hotel is known for its views and for its Mediterranean and California Fresh cuisine. The property is a popular wedding and meeting venue.
"Red Lion is well-recognized in Northern California," said Kumar Sharma of Shri Vinayaka Hotel, Inc. "We are looking forward to our continued franchise relationship with Red Lion and all of the benefits we expect to have from converting an independent hotel to a trusted brand."
About Red Lion Hotels Corporation:
Red Lion Hotels Corporation is a hospitality and leisure company primarily engaged in the ownership, operation and franchising of midscale hotels under its Red Lion® brand. As of June 30, 2012, the RLH hotel network was comprised of 47 hotels located in nine states and one Canadian province, with 8,872 rooms and 443,587 square feet of meeting space. The company also owns and operates an entertainment and event ticket distribution business. For more information, please visit the company's website at www.redlion.com.Social Media
Red Lion Hotels Corporation
Lion Hotels Sells the 478-room Red Lion Hotel Denver Southeast in
Colorado for $13 Million / August 2012
Lion Hotels Sells the 149-room Red Lion Colonial Hotel in Helena,
Montana to Helena Colonial L.L.C. for $5.6 Million; The Hotel will
Maintain the Red Lion Brand / July 2012
Lion Hotels Signs Franchise Agreement for Cathedral City, California
Hotel; The 97-room Quality Inn & Suites Date Palm will Convert to
Red Lion Hotel Cathedral City in Fall 2012 / July 2012
Burgett Joins Red Lion Hotels Corporation as Executive Vice President,
Brand Development / July 2012
Lion Hotels Offers Risk Free Meetings with Zero Attrition to Planners
through 2012 / March 2012
Former 126-room Best Western Hotel in Grants, New Mexico is Re-branded
as the Red Lion Hotel Grants / December 2011
Lion Hotels Brand Chosen for Two Former Best Western Hotels in New
Mexico; The 192-room Red Lion Hotel Farmington and the 126-room Red
Lion Hotel Gallup are Now Open for Business / November 2011
Lion Hotels Acquires Ten Previously Leased Hotels From iStar Financial
for $37 million / November 2011
Lion Hotels Continues Expansion in New Mexico with the Addition of the
126-room Red Lion Hotel Grants Formerly the Best Western Inn &
Suites of Grants / October 2011
Lion Hotels Names Julie Shiflett as Executive Vice President and Chief
Financial Officer / September 2011
Interim Status, Red Lion Hotels Names Jon Eliassen President and Chief
Executive Officer / February 2011
Lion Hotels Plans Sale of Two Properties; the Red Lion Hotel Fifth
Avenue in Seattle and the Red Lion Hotel Denver Southeast / January
Lion Hotels Enters into Two New Franchise Agreement in Northern
California / November 2010
|Red Lion Hotels Corporation Hires Dan Jackson as Senior Vice President and Chief Financial Officer / November 2010|
|Red Lion Hotels Expands Board of Directors; Appoints Melvin L. Keating to Board / July 2010|
|Red Lion Hotels Appoints Richard P. Carlson as Vice President - Lodging Development / March 2010|
|Directors of Red Lion Hotels Remove Anupam Narayan as Chief Executive Officer; No Reason Given / January 2010|