Crescent Picks Up $125M Denver Hotel Portfolio
- Jun 12, 2018
Crescent Real Estate has acquired two Denver hospitality properties from Crow Holdings. The 241-key Brown Palace Hotel and Spa—part of Marriott’s Autograph Collection—and the neighboring 231-key Holiday Inn Express together traded for $125.4 million, according to public records. The sale marks a significant uptick in value from Crow’s 2014 acquisition of the buildings for $103 million.
Located at 321 17th St., Brown Palace rises nine stories in downtown Denver. The 22-story Holiday Inn Express, at 401 17th St., sits next door. The properties are linked via a second-story covered walkway. Both hotels are situated within a quarter mile of more than 11 million square feet of office space, according to Yardi Matrix, and the Colorado State Capitol sits a 10-minute walk away.
Brown Palace, opened in 1892, is the longest continuously operating hotel in the city. Crescent plans to begin work on renovations and other enhancements to both properties in the future. The owner has selected HEI Hotels & Resorts to manage the two assets.
Last year in December, Chesapeake Lodging Trust completed a $27 million renovation project at another major downtown hotel.
Luxury amenities, sustainable features
Guest amenities at both properties include fitness centers, 19,885 square feet of event space, complimentary Wi-Fi and six on-site restaurants and bars. Brown Palace additionally offers a two-story, 5,200-square-foot spa, and the building is home to a number of unique sustainability features, from a hotel-wide composting system to rooftop bee colonies.
“Denver’s lodging market is robust, as it has outpaced both the top 25 markets and national average over the last five years,” said Conrad Suszynski, co-CEO of Crescent, in a prepared statement. “We believe future demand is fueled by exceptional employment and visitor growth which makes the Brown Palace hotel complex an exciting investment for Crescent.”
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