Braemar sold $1B of resorts, cut G&A to $15M and became a self-managed REIT

Between July and October 2026, Braemar moved out a string of luxury assets: the Ritz-Carlton Sarasota, Hotel Yountville and the Bardessono Hotel and Spa sold together for $437.5 million ($1.0 million per key) on 14 July; the Pier House Resort & Spa followed for $190.0 million ($1.3 million per key) on 21 August; and the Four Seasons Resort Scottsdale went under agreement on 29 September at $372 million ($1.8 million per key, a 6.2% cap rate including $23 million of capex), with a $10 million non-refundable deposit and an expected 22 October close.

Those proceeds, with planned refinancings, are expected to generate sufficient funds to pay the remainder of the Company Sale Fee and Master Agreement Termination Fee owed to Ashford Inc., completing Braemar's separation from its external advisor and its transition to a self-managed REIT by mid-November 2026.

The go-forward portfolio is seven hotels — Ritz-Carlton Reserve Dorado Beach, The Ritz-Carlton St. Thomas, the Capital Hilton, The Notary Hotel in Philadelphia, the Sofitel Chicago Magnificent Mile, The Ritz-Carlton Lake Tahoe and the Cameo Beverly Hills, which converted to Hilton's LXR collection in January 2026 — producing $381.4 million of trailing-twelve-month revenue and $87.9 million of hotel EBITDA at a 23.0% margin for the period ended 30 June 2026.

As a self-managed REIT, Braemar expects to cut total annual corporate G&A, including advisory and related fees, from about $42 million to $15 million — over $25 million in annual savings — while refinancings should cut the weighted-average rate on targeted assets by more than 150 basis points and extend maturities. Pro forma net debt falls from about 50% to about 36% of gross assets. Forward bookings are rate-led: next-twelve-months revenue pace was up roughly 25% year over year on a 27% increase in ADR.

G&A falls from ~$42M to $15M — over $25M annual savings; pro forma net debt from ~50% to ~36% of gross assets; NTM revenue pace +25% YoY.

External advisory fees were a permanent drag: roughly $42 million of annual corporate cost against a portfolio generating $87.9 million of hotel EBITDA.

Selling assets at strong per-key prices both funded the exit fees owed to Ashford and shrank the portfolio to a set worth managing directly.

Management accepted a near-term reduction in EBITDA from the asset sales in exchange for permanent cost savings and a stronger capital structure.

A second activist, Al Shams, signed a cooperation agreement withdrawing his director nominations and supporting the company's nominees at the 2026 annual meeting, leaving the board free to execute.

Paying to exit a conflicting outside relationship can be the cheapest capital move available: asset sales that clear the exit fee also reset the cost base permanently.

The Ashford separation is expected to complete by mid-November 2026, with targeted refinancings over the following three to six months. Braemar issued one-time full-year 2027 guidance — RevPAR growth of +4.5% to +6.5%, total revenues of $407–412 million and Adjusted EBITDAre of $85–90 million — while cautioning that the Scottsdale sale may not close on these terms.