Login

Recent US Hotel Transactions: 24 May 2011

• The Radisson Lexington Hotel New York was sold for US$475,506 per room to DiamondRock Hospitality Company. • The sale of the JW Marriott Denver Cherry Creek represents a 7.5% capitalization rate on forecasted 2012 net operating income. • The Hampton Inn Manhattan Seaport District was acquired for cash, and Hersha Hospitality Trust is converting its US$58-million mezzanine loan into equity. • More. (Paid subscription to the Hotel Investment Barometer is required to view this article.)
By the HNN editorial staff
May 25, 2011 | 3:00 P.M.

The following is a list of recent hotel transactions and purchase contracts. This is not meant to be a comprehensive list. It is the policy of the Hotel Investment Barometer to publish only those transactions for which buyer, seller and price information are available.

 

Hotel Location Rooms Price Price/room Buyer Seller Date Shawn A. Turner's take
New York Palace (1) New York 889 US$400 million (2) US$445,000 Northwood Investors LLC Entity affiliated with the royal family of Brunei Pending This is the second time the Palace has traded during the past 30 years, according to Bloomberg.
Radisson Lexington Hotel New York New York 712 US$335 million US$475,506 DiamondRock Hospitality Company Lexington Hotel LLC 16 May 2011 Forecasted 2011 revenue per available room for the property is US$198, according to DiamondRock.
W Chicago-City Center Chicago 368 US$128.8 million US$350,000 Chesapeake Lodging Trust Starwood Hotels & Resorts Worldwide 10 May 2011 RevPAR for the hotel year-to-date through April is up 19.4%, according to Chesapeake.
W Boston Boston 235 US$89.5 million (2) US$380,000 Pebblebrook Hotel Trust Sawyer Enterprises Pending If all of Pebblebrook's deals close, Pebblebrook's portfolio will include 14 hotels comprising approximately 3,800 rooms.
Hotel Chelsea New York 125 US$80 million-plus (2) US$640,000-plus Joseph Chetrit (3) Chelsea 23rd Street Corporation 16 May 2011 The hotel has been home to Bob Dylan, Jimi Hendrix and more.
JW Marriott Denver Cherry Creek Denver 196 US$72.6 million US$370,408 DiamondRock Hospitality Company Cherry Creek Owner LLC 19 May 2011 The purchase represents a 7.5% capitalization rate on forecasted 2012 net operating income.
Red Lion Hotel on Fifth Avenue Seattle 297 US$71 million US$239,057 Affiliate of Lowe Enterprises Red Lion Hotels Corporation 4 May 2011 Lowe also is entering into a franchise agreement with Red Lion.
Hampton Inn Manhattan Seaport District New York 81 US$32.4 million US$400,000 Hersha Hospitality Trust HPS Seaport LLC 20 April 2011 The hotel was acquired for cash, and Hersha is converting its US$58-million mezzanine loan into equity.

 

List compiled by Shawn A. Turner.