Condor Hospitality Buys Marriott Hotel Portfolio for $39M
- Sep 06, 2017
Condor Hospitality Trust Inc. closed the $38.8 million acquisition of two Marriott-branded hotels: the Fairfield Inn & Suites El Paso Airport and the Residence Inn Austin Airport. The hotels will continue to be managed by Texas-based Ambridge Hospitality.
Fairfield Inn & Suites El Paso Airport is located at 6611 Edgemere Blvd. in El Paso, Texas, less than two miles from El Paso International Airport and the hub of El Paso’s revitalized entertainment district. The 124-key asset offers stylish suites and guestrooms with free Wi-Fi, luxurious bedding, Smart TV and spacious work desks. Amenities include a fitness center, an outdoor pool and conference rooms.
Located at 3201 Caseybridge Court, near Austin Airport, Residence Inn Austin Airport hotel features 120 suites with fully equipped kitchens, large work desks, luxury bedding and a pet-friendly policy. The asset is less than 15 minutes from Downtown Austin, Austin Convention Center and Circuit of the Americas. Amenities include a picnic area, local restaurant dinner delivery, a fitness center, an outdoor swimming pool, conference rooms and free parking for guests.
“These two most recently acquired hotels, with an average age of less than two years and branded under two high-quality Marriott flags, fit squarely within our investment strategy of acquiring premium-branded select-service assets in attractive secondary markets,” said Bill Blackham, Condor’s CEO, in a prepared statement.
A third Marriott hotel, the TownePlace Suites Austin North Tech Ridge, is under contract for $19.8 million. The transaction is expected to close in the first quarter of 2018.
“Our extremely disciplined assemblage of a very high-quality portfolio of select-service hotels has led to strong RevPAR outperformance over the national averages, as demonstrated by our 7.4 percent RevPAR year-over-year growth in the first half of 2017 for our new investment platform hotels. Additional highlights of this transaction are that we closed the acquisition in 46 days, that we expanded our management company relationships with the addition of Aimbridge Hospitality, and that we remain under contract to acquire the TownePlace Suites Tech Ridge, expected to close in the first quarter of 2018,” he added.
Since the fourth quarter of 2015, Condor has closed approximately $240 million of acquisitions, representing 12 hotels consisting of a total of 1,593 guestrooms, according to Blackham. The company’s portfolio consists of 21 hotels totaling 2,504 guestrooms in 11 states. Earlier this year, Condor announced the expansion of its $90 million senior secured revolving credit facility to $150 million.
Image courtesy of Condor Hospitality Trust Inc.