Who’s Buying, Selling, or Financing?

INTERNATIONAL REPORT—Hotel Business is tracking acquisitions and other transactions in the industry. Here’s a look at recent activity from Starwood Capital Group, Excel Group, Xenia Hotels & Resorts and more.

Starwood Capital Group Acquires St. Regis Princeville Resort

Starwood Capital Group has acquired the 251-room St. Regis Princeville Resort located on the island of Kauai, Hawaii. Starwood Capital Group’s hotel management company, SH Hotels & Resorts, will operate the hotel effective immediately as Princeville Resort. Starwood intends to invest more than $100 million to transform the property into what will be the 1 Hotel brand’s flagship resort, 1 Hotel Hanalei Bay.

The brand will continue its expansion with soon-to-open properties in West Hollywood, CA; Cabo San Lucas, Mexico; Sunnyvale, CA; and Sanya, China. In addition, there are more than a dozen others in the company’s pipeline.

Excel Group Buys Residence Inn in Wilmington, DE

Washington DC-based real estate investment firm Excel Group has acquired the 96-key Residence Inn Wilmington Downtown located in the heart of downtown Wilmington, DE. This purchase represents the fourth major transaction for Excel Group this year, representing a total transaction volume of more than $100 million.

Xenia Acquires Park Hyatt Aviara Resort, Golf Club & Spa

Xenia Hotels & Resorts Inc. has acquired the Park Hyatt Aviara Resort, Golf Club & Spa, a 327-room luxury resort located in Carlsbad, CA, for a purchase price of $170 million, or approximately $520,000 per key. The company doesn’t anticipate the hotel to materially contribute to the company’s EBITDA during the remainder of 2018.

Two Atlanta Hotels Receive First Mortgage Financing

F10 Hotels has arranged $48.5 million of interim first mortgage financing to refinance Twelve Midtown and Twelve Downtown in Atlanta. In addition to these luxury boutique properties, collateral included ground floor retail and parking. 

CHC Secures Refi for Embassy Suites in Columbus, OH

Cronheim Hotel Capital (CHC) has arranged $14.7 million for the refinance of the Embassy Suites in Columbus, OH. The loan was placed with a national lender and offered a 10-year term and 30-year amortization. The rate was locked at 4.44%.

Kana Hotel Group, one of the largest private owner/operators of hotels in the country, was the operator and primary partner in the deal. Kana owns and operates more than 60 hotels throughout the country.

Atlanta Marriott Perimeter Center’s Renovation Project Gets Refi

Perkins Coie represented Integrated Capital in the negotiation of a $57 million refinancing loan for the Atlanta Marriott Perimeter Center. The hotel is nearing the completion of a nine-month, $14-million renovation that will update the hotel’s 18,000 sq. ft. of meeting space, incorporate numerous exterior cosmetic changes and make major improvements to all 344 guestrooms.

The funds, provided by Aareal Bank, will be used to pay off an existing loan for the renovation, which was originated by Emigrant Bank. Led by Perkins Coie Chicago partner Daniel Marre, the Perkins Coie team also included partner Jaclyn McNally and partner Edward Wicks.