Hotel Investors Corp., a management company whose stock is paired with Hotel Investors Trust and trades singularly as Hotel Investors, said it will operate two Las Vegas hotel-casinos owned by Hotel Investors Trust of Woodland Hills.
Hotel Investors Corp., based in San Diego, acquired a leasehold interest in the properties and certain gaming equipment at the hotels for about $2 million. A leasehold interest represents Hotel Investors Corp.'s right to manage the buildings under a lease.
Hotel Investors Trust is a real estate investment trust, which invests exclusively in hotels and related facilities. Hotel Investors Corp., formed by the trust in 1980, manages hotels. Since their shares are paired, they trade together and are owned by the same stockholders.
The two Las Vegas properties, the 300-room King 8 Hotel & Gambling Hall and the 150-room Bourbon Street Hotel & Casino, were bought by Hotel Investors Trust in February for about $35 million from Las Vegas Investors, a partnership managed by Hotel Investors' top two executives, John F. Rothman and Ronald A. Young.
Hotel Investors Trust had leased the properties back to the partnership temporarily, until Hotel Investors Corp. got approval from Nevada gambling authorities to operate the properties.