The 13 hotels of Japanese airline ANA, which this month started to be managed by a joint venture company majority-owned by InterContinental, have all been put up for sale.
The move signals that encumbered assets are no barrier to realising the best value in a sales process as investors look for the reassurance of professional management and international brands.
The hotels, which have 5,006 rooms, are expected to fetch more than the Yen110bn ($954m) book value. They include properties at Narita, Hiroshima and Ishigaki as well as the flagship hotel in Tokyo's Roppongi district.
The timing of the disposal is propitious in that property prices in Japan's three biggest metropolitan areas rose this year for the first time in 16 years, according to government figures.
InterContinental announced in late October that the 13 hotels together with 18 others that are managed, franchised or on marketing deals, would be injected into the new joint venture it was creating with ANA. The owned properties are expected to adopt InterContinental brands within 18 months.
The sale is being handled by Jones Lang LaSalle Hotels and Nomura. JLL also advised ANA on the deal to create the JV with InterContinental.