Ashford Secures Long-Term Advisory Mandate Through 2037

Ashford Inc. secures a 10-year advisory contract extension with Braemar Hotels & Resorts through 2037, ensuring predictable revenue as it focuses on debt reduction and portfolio optimization.

Ashford Inc. has solidified its long-term strategic partnership with Braemar Hotels & Resorts. The advisory firm exercised a contractual option, extending its management mandate for an additional decade through the year 2037. This move provides a foundation for stable revenue streams as the company concurrently works on optimizing its asset portfolio.

Strategic Portfolio Moves Accompany Contract Extension

The announcement of the contract renewal coincides with strategic asset sales within the Ashford ecosystem. On March 31, Ashford Hospitality Trust finalized the sale of the Hilton Alexandria Old Town property for a gross price of $58 million. From the net proceeds of $57.3 million, approximately $32.5 million was immediately allocated to repay the mortgage debt secured against the asset.

Alongside these financial transactions, a change in executive leadership is underway. In March, Ashford announced the planned departure of its Chief Financial Officer, Deric Eubanks. The company continues to manage assets for publicly traded trusts, while Ashford Inc. itself remains listed on the NYSE American exchange.

A Decade of Predictable Advisory Revenue

The decision, made public on Friday, extends the existing advisory agreement beginning in January 2027 for a further ten years. Official notification of this extension was delivered on Tuesday, March 31. While the core terms of the agreement remain intact, both parties retain the right to renegotiate the base compensation and incentive fees during the new term.

For Ashford, this extension translates into a predictable revenue source for the next eleven years. Securing management rights well ahead of the original 2027 expiration date ensures operational continuity. This stability is particularly valuable as the company maintains its focus on debt reduction efforts.

Long-Term Stability as a Strategic Pillar

The long-term commitment from Braemar acts as a stabilizing factor for Ashford's revenue projections. By locking in management rights years in advance, the company establishes a firm foundation for its service offerings. Ashford's strategic emphasis remains on deleveraging and formalizing enduring management relationships, with this contract serving as a cornerstone of that approach.