Summit Takes Downtown Courtyard by Marriott for $29M
- Nov 18, 2011
Summit Hotel Properties Inc. is under contract to acquire the 150-room Courtyard by Marriott in Downtown Atlanta. The deal calls for Summit to buy the property from Capstone Partners for $28.65 million, or $191,000 per key, with an anticipated post-renovation capitalization rate between 8 and 9 percent.
Located at 133 Carnegie Way NW, the property opened in January and features meeting space, a Café Intermezzo restaurant, a fitness center, a lounge and 24-hour grab-and-go food area. The hotel is also equipped with a business library with workstations and high-speed data ports.
In line with its strategy of investing in premium-branded hotels in upscale and upper-midscale segments, Summit is also under contract to acquire the 95-room Residence Inn by Marriott in downtown Kansas City, Mo., for $103,000 per key and is marketing its 52-room AmericInn Hotel & Suites in Missoula, Mont., for $2 million.
“These transactions are part of the disciplined strategy Summit has followed since our predecessor company was founded twenty years ago,” commented Dan Hansen, the company’s chief executive officer. “We are constantly reviewing our portfolio to make certain that our assets are providing the best opportunities for our investors.” Completion of the acquisitions is subject to lender approval and other customary closing conditions.
Photo Credit: Marriott International Inc