Red Lion Hotels Announces Strategic Sale of Denver Southeast Property
SPOKANE, Wash., Aug. 6, 2012 /PRNewswire/ -- Red Lion Hotels Corporation (NYSE: RLH) announced today the company has entered into a definitive agreement to sell for $13.0 million the Red Lion Hotel Denver Southeast in Colorado.
"The sale of a non-core property provides us with additional financial flexibility," said Jon E. Eliassen, President and Chief Executive Officer of Red Lion Hotels Corporation. "The proceeds from the sale of this hotel will allow us to pay down debt, enhance the competitive position of the Red Lion brand and increase shareholder value."
The sale on the property is expected to close on or before October 31 and the company does not expect the buyer to sign a franchise agreement.
The 478 room select service hotel has 25,000 square feet of meeting space and is located in the southeast metro Denver area adjacent to the light rail line. The hotel borders Cherry Creek State Park and has scenic views of the Rocky Mountains and downtown Denver. Red Lion Hotels Corporation announced in January 2012 it was listing the hotel for sale.
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 March 31, 2012, the RLH hotel network was comprised of 48 hotels located in nine states and one Canadian province, with 9,010 rooms and 452,387 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.
SOURCE Red Lion Hotels Corporation