A Blackstone Group LP affiliate agreed to buy Apple REIT Six Inc., a real estate investment trust focused on hotels, in a $1.2 billion deal as the private- equity firm expands its hospitality holdings.
The price includes transaction costs and debt, Apple REIT Six said in a statement today. The acquirer is BRE Select Hotels Corp., an affiliate of Blackstone Real Estate Partners VII.
Blackstone, based in New York, has been buying lodging properties from lower-priced chains to luxury hotels. Earlier this year it agreed to purchase the Motel 6 chain from Accor SA for about $1.9 billion, adding to investments such as Hilton Worldwide and a stake in Extended Stay America Inc.
Apple REIT Six, which focuses on upscale, extended-stay and select-service hotels, owns 66 hotels with 7,658 guest rooms across 18 states. The properties operate under brands including Courtyard by Marriott, Fairfield Inn and Hilton Garden Inn, according to its website.
The deal is expected to be completed in the first half of 2013, subject to shareholder approval, Apple REIT Six said.
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