NANA announces sale of four Anchorage hotels

NOVEMBER 20, 2017 – ANCHORAGE, ALASKA - NANA is pleased to announce the sale of four Anchorage hotels that it had ownership interest in, effective Nov. 7, 2017. The new owner is JL Properties, an Alaska-based real estate and investment firm. This sale will allow NANA to concentrate further on Alaska’s resource development industries, including the Red Dog Mine, and its strong federal and commercial group opportunities.

NANA (60 percent owner) and Sodexo (40 percent owner) sold the jointly-owned Courtyard, Midtown Springhill Suites, and Residence Inn, as well as the University Lake Springhill Suites, which was owned 100 percent by NANA. NANA Management Services, LLC (NMS) has managed and operated the properties since the hotels opened.

“The NANA board of directors set a goal to increase profitability at NANA,” said President and CEO Wayne Westlake. “Part of that strategy, as I shared at NANA’s 2016 Annual Meeting, is to sell certain assets when the time is right. This was the right time and the right deal for NANA,” he added.

NANA and its partner opened the Courtyard, Midtown Springhill Suites, and Residence Inn in the late 1990s. In the mid-2000s NANA opened the University Lakes Springhill Suites to complement the existing properties in its portfolio. The hotels provided a positive return and a discounted rate for NANA shareholders.

NANA worked closely with the new owners to ensure that hotel staff was transferred to the new management company. In addition, job search and placement assistance within the NANA family of companies was offered to shareholder employees if they preferred to remain with NANA.

Note:

Shareholders may have noticed that in mid-September, reduced rates and Medicaid vouchers were not accepted at these hotels. Due to the timing of the sale and the nature of the due diligence we were not able to broadly communicate about the changes in preparation for this sale. NANA has also worked with the buyers to continue a discounted rate for shareholders at the four properties, and they have agreed to maintain the current rates through the end of the year and will evaluate rates for 2018.