Park Hotels & Resorts

PK

Market cap $2.16B

PK completes the sale of its Hilton San Francisco hotels, advancing its 2025 plan to shed non-core assets and streamline its portfolio for future growth.

TYSONS, Va.--(BUSINESS WIRE)---- $PK--Park Hotels & Resorts Inc. (“Park” or the “Company”) (NYSE:PK) today announced that on November 21, 2025 the court-appointed receiver completed the sale of the 1,921-room Hilton San Francisco Union Square and the 1,024-room Parc 55 San Francisco – a Hilton Hotel (collectively, the “Hilton San Francisco Hotels”), which secured a $725 million non-recourse CMBS Loan (“SF Mortgage Loan”). As previously announced, the Hilton San Francisco Hotels were placed in a cou.

During times of turbulence and uncertainty in the markets, many investors turn to dividend-yielding stocks. These are often companies that have high free cash flows and reward shareholders with a high dividend payout.

The REIT sector has seen back-to-back tough months as it saw a modest average negative total return in September (-0.73%) and fell deeper into the red in October (-4.03%). Small cap REITs (-5.05%) had the worst performance in October. Micro caps (-2.81%), mid caps (-3.11%) and large caps (-4.45%) were also in negative territory albeit to a smaller degree. Only 21.66% of REIT securities had a positive total return in October.

Park Hotels & Resorts gets its prior hold rating reaffirmed again, after the recent quarterly results, and an S&P Global downgrade in October. Some macro tailwinds in 2026, such as World Cup hotel demand in the US, and continually renovating properties, could boost this REIT. Despite a +9% dividend yield and trading below book value, this REIT has struggled to grow AFFO, dividends, and operating cash flow, as well as trailing in margins vs. key peers.

Most asset classes are not offering any discounts this Black Friday. REITs are the exceptions, with many offering up to 50% discounts. But possibly not for much longer. Here is why this could be your last chance to secure these bargains.

Indexes tracking real estate investment trust stocks outperformed the broader stock market indexes during the first week of November. The Dow Jones Equity All REIT closed the recent week up 1.40%, while the MSCI US REIT (RMZ) index rose 1.50%. All of the Dow Jones US real estate property sector indexes logged increases this past week.

During times of turbulence and uncertainty in the markets, many investors turn to dividend-yielding stocks. These are often companies that have high free cash flows and reward shareholders with a high dividend payout.

US equity real estate investment trust indexes dropped during the final week of October. The Dow Jones Equity All REIT index closed the recent week down 3.29%, while the MSCI US REIT (RMZ) index fell 2.88%. The healthcare REIT index was the sole Dow Jones US real estate property sector index to close the week in the black, recording a 1.47% gain.

Park Hotels & Resorts is rated a Buy, supported by solid AFFO, conservative management, and a sustainable nearly double-digit dividend amid industry headwinds. PK's Q3 revenue declined 6% YoY, but the REIT maintains a healthy payout ratio despite AFFO dropping YoY, with a ~9.6% dividend yield. Ongoing divestitures and debt management efforts position Park to strengthen its balance sheet ahead of a large 2026 maturity, potentially offering a solid point of relief for the market.