Sunstone Seeks Rebound With $1 Billion of Hotels After Forfeiting Property

Sunstone Hotel Investors Inc., the real estate investment trust that’s forfeited 10 properties in the past two years, wants to buy $1 billion of assets in 2011 to expand its portfolio of upscale business hotels.

The company is looking to buy high-end hotels of 400 rooms or larger in major cities on the U.S. East and West coasts, said Kenneth Cruse, Sunstone’s president and chief financial officer. Among the purchases is the 62 percent of Doubletree Guest Suites Times Square it doesn’t already own for about $37.5 million. Sunstone plans to complete the New York acquisition this month.

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Sunstone Hotel Investors, Inc. Announces Public Offering of 17.5 Million Common Shares

ALISO VIEJO, Calif., Nov. 8, 2010 /PRNewswire via COMTEX/ -- Sunstone Hotel Investors, Inc. /quotes/comstock/13*!sho/quotes/nls/sho (SHO 10.29, -0.64, -5.86%) (the "Company") announced today that it intends to issue 17,500,000 shares of its common stock in a registered public offering. The underwriters will be granted a 30-day option to purchase up to an additional 2,625,000 shares of common stock to cover over-allotments, if any.

The joint bookrunners for this offering are BofA Merrill Lynch and J.P. Morgan.

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Sunstone Hotel Investors Reports Results for Third Quarter 2010

ALISO VIEJO, Calif., Nov. 4, 2010 /PRNewswire via COMTEX/ -- Sunstone Hotel Investors, Inc. today announced results for the third quarter ended September 30, 2010.

RevPAR and hotel EBITDA margin information presented reflect the Company's 30 hotel comparable portfolio on a pro forma basis (excludes the Royal Palm Miami Beach).
Third Quarter 2010 Operational Results:
Total revenue was $177.7 million.
Comparable Portfolio RevPAR was $108.07.
Income available to common stockholders was $18.3 million.
Income available to common stockholders per diluted share was $0.19.
Adjusted EBITDA was $38.9 million.
Pro forma Adjusted EBITDA was $34.5 million.

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Sunstone’s Deal for Big San Diego Hotel Scuttled

All isn’t sunny in San Diego. Developer Doug “Papa Doug” Manchester’s deal to sell the Manchester Grand Hyatt convention center hotel in San Diego to Sunstone Hotel Investors Inc. is off.

“It happened again,” Papa Doug’s attorney, Michael Levinson, declared in an email sent recently to the San Diego Unified Port District, which owns the land under the Grand Hyatt. “Sunstone made material changes to terms overnight, and we informed them this a.m. that (the) deal is off.”

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Sunstone Hotel Investors, Inc. Acquires the 409-room Royal Palm Hotel - Miami Beach

ALISO VIEJO, Calif., Aug 16, 2010 /PRNewswire via COMTEX/ -- Sunstone Hotel Investors, Inc. (the "Company") /quotes/comstock/13*!sho/quotes/nls/sho (SHO 9.42, +0.03, +0.32%) today announced that it was the successful bidder at a foreclosure auction and acquired the fee-simple interest in the Royal Palm (the "Hotel") located on Collins Avenue in Miami Beach, Florida. The gross purchase price for the Hotel was approximately $126.1 million before transaction costs. Prior to the auction, the Company purchased a portion of the outstanding debt at a discount to par resulting in an economic gross purchase price of approximately $117.0 million or approximately $286,000 per key.

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Sunstone wants to take over San Diego Hyatt

Orange County-based Sunstone Hotel Investors, which last year walked away from the tony W Hotel downtown, is now looking to take over the 1,625-room Manchester Grand Hyatt on San Diego’s bayfront.

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SUNSTONE HOTEL INVESTORS REPORTS RESULTS FOR SECOND QUARTER 2010

Second Quarter 2010 Operational Results:
• Total revenue was $181.0 million.
• Pro forma RevPAR was $111.91.
• Loss attributable to common stockholders was $4.9 million.
• Loss attributable to common stockholders per diluted share was $0.05.
• Adjusted EBITDA was $43.2 million.
• Pro forma Adjusted EBITDA for the 30 hotel portfolio was $39.9 million.
• Adjusted FFO available to common stockholders was $17.8 million.
• Adjusted FFO available to common stockholders per diluted share was $0.18.
• Pro forma Adjusted FFO available to common stockholders per diluted share was $0.18.
• Pro forma hotel EBITDA margin was 26.9%.
Art Buser, President and Chief Executive Officer, stated,

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Sunstone Reacquires Hotel

San Clemente-based hotel owner Sunstone Hotel Investors Inc. said Thursday it has reacquired a hotel it stopped making debt payments on last year.

The company said it paid $24.8 million for the Renaissance Westchester Hotel, a 347-room hotel in White Plains, N.Y., that Sunstone used to own before it went into receivership.

Sunstone, which owns all or part of 40 hotels, made waves last year by giving back some hotels to lenders after going underwater on their mortgages.

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Sunstone Hotel Sees 2Q Revenue Per Available Room Up 6.5%

Sunstone Hotel Investors Inc. (SHO) anticipates an approximate 6.5% increase for revenue per available room in the second quarter as it also projected a key profitability metric will likely top analysts' expectations.

The hospitality industry is beginning to see signs of a rebound after several years of falling prices and occupancy rates.

President and Chief Executive Art Buser said Sunstone has continued to see improving demand, primarily because of increased business travel. The demand increase is allowing operators to improve pricing in some markets, he added.

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SUNSTONE HOTEL INVESTORS REPORTS RESULTS FOR FIRST QUARTER 2010

First Quarter 2010 Operational Results:

• Total revenue was $160.7 million.

• Pro forma RevPAR was $94.68.

• Loss attributable to common stockholders was $26.3 million.

• Loss attributable to common stockholders per diluted share was $0.27.

• Adjusted EBITDA was $31.0 million.

• Adjusted FFO available to common stockholders was $3.9 million.

• Adjusted FFO available to common stockholders per diluted share was $0.04.

• Pro forma hotel EBITDA margin was 21.7%.
 
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Sunstone Hotel Investors Provides Business Update

SAN CLEMENTE, Calif., April 16, 2010 /PRNewswire via COMTEX/ -- Sunstone Hotel Investors, Inc. (the "Company") /quotes/comstock/13*!sho/quotes/nls/sho (SHO 10.99, -0.44, -3.81%) today provided both preliminary results for the first quarter ended March 31, 2010 and an update on its finance initiatives

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SUNSTONE HOTEL INVESTORS REPORTS RESULTS FOR FOURTH QUARTER AND FULL

Fourth Quarter 2009 Operational Results:
• Total revenue was $192.6 million.
• Pro forma RevPAR was $97.31.
• Loss attributable to common stockholders was $133.2 million.
• Loss attributable to common stockholders per diluted share was $1.45.
• Adjusted EBITDA was $44.8 million.
• Adjusted FFO available to common stockholders was $16.2 million.
• Adjusted FFO available to common stockholders per diluted share was $0.18.
• Pro forma hotel EBITDA margin was 23.8%.

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Default by Sunstone Hotels to affect several properties

Sunstone Hotels Investors Inc., which earlier this year grabbed headlines when it stopped making payments on its loan for the trendy W Hotel in San Diego, has now defaulted on a mortgage covering 11 additional properties, including three in central San Diego.

The decision by Sunstone is a reflection of the dire market conditions facing hotels, which are struggling to bring in revenue at a time when leisure and business travelers are sharply cutting back their spending.

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Hotels squirm as debt pressure mounts

A big hotel near Hartsfield-Jackson Atlanta International Airport may be about to change hands — a harbinger for the industry as more and more hotel owners find themselves deep in debt and unable to avoid drastic financial negotiations.

The 387-room Atlanta Renaissance Concourse may soon belong to Massachusetts Mutual Life Insurance Co. after owner Sunstone Hotel Investors Inc. (NYSE: SHO) notified investors Nov. 4 it had not made a $5 million payment to Mass Mutual and had defaulted on a $246.3 million loan that is secured by the Renaissance and 10 other hotels.

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Sunstone Hotel Investors to issue 14 mln shares

SAN CLEMENTE, Calif. (AP) -- Lodging real estate investment trust Sunstone Hotel Investors Inc. said Thursday it will issue 14 million shares in a public offering.
Underwriters will have 30 days to buy up to an additional 2.1 million shares.
Joint bookrunners are Bank of America Merrill Lynch and Wells Fargo Securities.
Proceeds from this offering will be contributed to Sunstone Hotel Partnership LLC, a subsidiary, which will use proceeds for working capital and other general corporate purposes, which may include hotel acquisitions

Sunstone Hotel turns over 2nd property to lenders

SAN CLEMENTE, Calif. -- Sunstone Hotel Investors Inc. plans to turn over its Marriott Ontario Airport hotel in Southern California to its lenders, the second of its properties to be handed back to the bank after the company decided against making further mortgage payments.

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SUNSTONE HOTEL INVESTORS PROVIDES BUSINESS UPDATE

Arthur Buser, President and Chief Executive Officer, stated, "We continue to manage our portfolio and balance sheet to best position the Company for future opportunities. Our secured debt management initiatives are beginning to produce positive results, and on the operations front, we are seeing signs of improved group activity. During the past 30 days, our two bellwether group hotels – the Renaissance Washington D.C. and the Renaissance Orlando - booked over 40,000 group rooms combined, which is a marked improvement over recent booking trends."

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Hotel Owners walk away from mortgages

SUNSTONE HOTEL INVESTORS REPORTS RESULTS FOR SECOND QUARTER 2009

SAN CLEMENTE, CA –August 5, 2009 – Sunstone Hotel Investors, Inc. (the “Company”) (NYSE: SHO) today announced
results for the second quarter ended June 30, 2009.
Second Quarter 2009 Operational Results:
• Total revenue was $186.8 million.
• Total RevPAR was $101.03.
• Loss attributable to common stockholders was $135.4 million.
• Loss attributable to common stockholders per diluted share was $2.23.
• Adjusted EBITDA was $44.8 million.
• Adjusted FFO available to common stockholders was $13.7 million.
• Adjusted FFO available to common stockholders per diluted share was $0.22.
• Hotel operating margin was 25.7%.

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Sunstone Hotel Investors Amends Credit Facility

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