Starwood Hotels & Resorts Worldwide has announced it has sold Sheraton on the Park in Sydney, Australia to Sunshine Insurance Group Corporation (SIG) for AUS$463.0 million (US$399.0 million). Starwood will continue to operate the hotel as a Sheraton under a long-term management contract.
“We are pleased to advance our asset-light strategy with the sale of the iconic Sheraton on the Park hotel and look forward to working closely with SIG to ensure its continued success. The terms of this sale underscores the strength of the Sheraton brand and the success of this hotel, as well as the tremendous value of this property in a high barrier to entry market,” said Simon Turner, President, Global Development, Starwood.
Starwood continues to expand its portfolio in Australia and the Pacific through management and franchise agreements. The company currently operates 14 hotels in Australia, including the recently opened Four Points by Sheraton Brisbane and Sheraton Melbourne Hotel. Upcoming openings include Aloft Perth Rivervale, The Westin Perth and W Brisbane in 2017, marking the brand’s reentry into the Pacific region.
Including this sale and the recent sales of The St. Regis Rome, the Sheraton Ambassador Monterrey hotel, and The St. Regis Bal Harbour, Starwood has completed over US $1.5 billion of hotel asset sales over the last three years.
