Sunstone Hotel Investors Inc (NYSE: SHO) is a lodging real estate investment trust that owns hotels in convention, urban, and resort destinations. Revenue is generated through hotel operations, with properties leased to a taxable REIT subsidiary (Sunstone Hotel TRS Lessee, Inc.) and operated by third-party managers under long-term management agreements. As of December 31, 2025, Sunstone owned 13 hotels managed by operators including Marriott International (six hotels), Hyatt Hotels Corporation (three hotels), Four Seasons Hotels Limited, Hilton Worldwide Holdings, Montage North America, Sage Hospitality Group, and Singh Hospitality (each managing one hotel). The company is organized as a Maryland corporation and operates through its subsidiary Sunstone Hotel Partnership, LLC. Sunstone's stated strategy centers on capital investment, hotel repositioning, and asset recycling to grow per-share net asset value.

Revenue model

Hotel operating revenue earned through a taxable REIT subsidiary (TRS Lessee) structure, where properties are leased to the TRS Lessee and managed by third-party operators under long-term management agreements. The REIT structure requires distributing taxable income to stockholders.

Products and services

Ownership of full-service and upper-upscale hotels in convention, urban, and resort destinations. Properties are operated under brands and management agreements with Marriott, Hyatt, Four Seasons, Hilton, Montage, Sage Hospitality, and Singh Hospitality (EOS Hospitality) as of December 31, 2025.

Customers and end markets

Hotel guests in convention, urban, and resort markets. End demand comes from business travelers, group/convention attendees, and leisure travelers at upper-upscale and luxury-tier properties.

Value-chain role

Hotel owner and capital allocator. Does not operate hotels directly; delegates day-to-day management to third-party operators under long-term contracts while retaining ownership of real property assets.

Geographic exposure

United States. Properties concentrated in convention, urban, and resort destinations. Specific markets not detailed in the filing excerpts provided.

Source: SEC 10-K, filed 2026-02-27

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