Renaissance Arboretum Part of $263M Portfolio Bought by Inland
- Apr 04, 2012
The Renaissance Arboretum Hotel in Northwest Austin was recently bought by Inland American Lodging Group Inc. as part of a $262.5 million deal which consists of two other Marriott International Inc.-affiliated hotels in Georgia and Kentucky.
The Arboretum is a 10-floor, 492-room atrium hotel that will continue to be managed by Marriott. Additionally, the hotel has 65,000 square feet of meeting and banquet space. The company intends to invest $50 million in renovating the three locations, covering areas such as the guestrooms, public spaces and meeting areas.
The buyer, based in Illinois, also purchased the Marriott San Francisco Airport Waterfront hotel for $108 million and the Hilton St. Louis Downtown hotel for $22.6 million with the goal of up scaling its hotel portfolio, according to the Austin Business Journal.
HotelNewsNow.com reported last week that the company had closed on the purchases of five hotels—totaling 2,302 rooms—for a purchase price of $393.1 million. Craig Lambert, executive VP of asset management at Inland American, believes that midsize, full-service hotels with good convention and meeting space will be very successful over the next two to five years, this according to HotelNewsNow.com.
In other local news, the Austin housing market is experiencing an uptrend due to “very strong” job growth, according to The Austin-American Statesman. The renewed demand for housing and the positive forecast come on the heels of some hard years for builders. While Central Texas recorded a 62 percent decline in the number of starts in 2011, forecasts indicate that the number of starts this year could reach pre-recession levels – between 8,000 and 11,000 new homes as compared to 6,105 last year.
Photo credits: www.marriott.com