DiamondRock Hospitality Company Completes Disposition Of The 725-Room Lexington Hotel In New York City BETHESDA, Md. , July 1, 2021 |PRNewswire| -- DiamondRock Hospitality Company (the "Company") (NYSE: DRH ) announced today that it completed the disposition of the 725-room Lexington Hotel in New York City on June 30, 2021 for $185.3 million . Including the Company''s projected capital expenditures, the sale price represents a 14.2x multiple on 2019 Hotel EBITDA and a 5.4% capitalization rate on 2019 Hotel net operating income. The Company intends to redeploy the net proceeds from the sale to acquire high-growth experiential resort and urban lifestyle hotels aligned with its investment strategy. "We are pleased to announce the closing of this transaction, which right-sizes our portfolio''s exposure to New York City ," said Mark W. Brugger , President and Chief Executive Officer of DiamondRock Hospitality Company. "This disposition also provides DiamondRock with significant investment capacity for on-strategy acquisitions." About the Company DiamondRock Hospitality Company is a self-advised real estate investment trust (REIT) that is an owner of a leading portfolio of geographically diversified hotels concentrated in top gateway markets and destination resort locations.