Park Hotels & Resorts Inc. (NYSE:PK) Q1 2024 Earnings Call Transcript

Tom Baltimore: They’re predevelopment costs on Miami, as you would imagine, architects, engineers, other selling design work. So, there’s work like that, but I would say not significant dollars being spent this year in ‘24. Regarding asset sales, we’ve sold in all conditions. Think back to the pandemic when we sold two assets in early San Francisco at record pricing in the middle of the pandemic. So, it’s — we’re not a distressed seller. We’ve set a target of at least $100 million in asset sales this year. We’re confident that we’ll achieve that. We’ll be thoughtful about it. Clearly, uncertainty is the enemy of sort of decision-making. And for both buyer and seller until the Fed sort of makes its final decision.

We think we all want to believe that the tightening cycle is over. And at some point, the Fed will begin to lower rates. That certainly will help the debt markets. But I think there’s so much liquidity out there that you’ll start to see, I think, more activity here in the second half of the year on the transaction side.

Operator: Thank you. There are no further questions at this time. I would like to turn the floor over to Tom Baltimore for closing comments.

Tom Baltimore: Operator, thank you, and thank you for your help today, and look forward to seeing many of you next week and also at NAREIT and safe travels.

Operator: Thank you. This concludes today’s teleconference. You may disconnect your lines at this time. Thank you for your participation.