Starwood Planning Sale of Ciga Group Sites

Starwood Hotels & Resorts Worldwide Inc. said it plans to sell its luxury Ciga Group of hotels in Europe for more than $1.44 billion in a bid to boost its sagging share price. White Plains, N.Y.-based Starwood owns 25 hotels in the Ciga Group, including former royal palaces and historic buildings such as the Gritti Palace and Danieli in Venice. It plans to begin marketing the properties sometime next year. Separately, Starwood reported a 32% increase in third-quarter operating earnings to $103 million, or 50 cents a share, on a 16% increase in revenue to $1.1 billion, attributable to higher room rates and occupancy at its hotels. The results matched analysts’ forecasts, according to First Call/Thomson Financial. Starwood shares jumped $2.19 to close at $29.63 on the NYSE.