- Portsmouth Square owns the Hilton hotel in San Francisco's Financial District.
- The hotel has performed poorly since pandemic restrictions were imposed; Portsmouth Square is burning cash and looks terrible from an operational perspective.
- The Hilton's occupancy rates are recovering slowly but steadily; a return to profitability could be on the horizon.
- The value of the Hilton hotel is grossly understated on the balance sheet; recent hotel sales in the area imply the hotel is worth up to 10x its stated book value.
- Portsmouth Square is a rare low-risk, high upside opportunity.
For further details see:
Portsmouth Square Is Way Too Cheap