Watermark Lodging Trust, Inc. announced it has agreed to a definitive acquisition by Brookfield's private real estate funds. The all-cash transaction is valued at CAD5 billion ($3.8 billion), including debt and preferred equity assumption, with Watermark's common stock shares priced at CAD9.25 ($6.768) for Class A and CAD9.11 ($6.699) for Class T. This reflects a premium of over 7.5% above the Net Asset Values per share reported at the end of 2021. The Watermark portfolio comprises 25 high-quality lodging properties with over 8,100 rooms across 14 states, particularly concentrated in the Sun Belt region. Michael Medzigian, Watermark's Chairman and CEO, expressed satisfaction with the deal, noting the premium price showcases the strong performance of the team, especially in overcoming pandemic challenges. Lowell Baron of Brookfield highlighted the unique scale and quality of the hotel and resort portfolio. The transaction, which aligns with Watermark's liquidity goals and offers stockholders immediate cash value, requires stockholder approval and is expected to close in the fourth quarter of 2022. Morgan Stanley & Co. LLC, Hodges Ward Elliott, Clifford Chance US LLP, and Paul Hastings LLP are advising Watermark, while Fried Frank Harris Shriver & Jacobson LLP counsels Brookfield. Citigroup, Bank of America, JP Morgan, and Wells Fargo are providing financial advice and financing for the acquisition.