Phoenix, AZ – CBRE Hotels announces the sale of the Holiday Inn Express & Suites Phoenix-Tempe-University, a 72-room, limited-service hotel located at 1031 East Apache Boulevard in Tempe, Arizona. The hotel features modern design accents and is within proximity to Arizona State University and the popular Mill Avenue District.
The property commanded a sale price of $6.5 million ($90,278 per room).
Eric Guerrero, Michael Yu, Rahul Bijlani and Pravin Boteju of CBRE Hotels in Houston and Chris Komanoski of CBRE Hotels in Arizona represented B&T Hospitality Management in the sale to OM Hotels, LP. CBRE Hotels represented both sides of the transaction.
“We saw a significant amount of interest in this transaction and had a competitive bid process with local and out-of-state buyers,” said Mr. Guerrero, vice president, CBRE Hotels. “The buyers were attracted to the location and impressive RevPAR growth in the market this year. Since the hotel was absentee-owned, local operators saw the value-add component that would come from having more hands-on management.”
OM Hotels, LP was attracted to the hotel due to its prime location within walking distance of ASU’s main campus in Tempe. B&T Hospitality sold the hotel as part of an ongoing disposition process to exit non-core hotel assets.
“Initially, this Tempe deal presented some hurdles regarding the new franchise license for a potential buyer,” Rusty Townsend, President/CEO, B&T Hospitality Management, said. “However, CBRE Hotels was able to position the deal effectively and secure a buyer who closed on the deal quickly. This is the second completed transaction along with a third deal we have in process with CBRE Hotels.”
CBRE Hotels is a specialized advisory group within CBRE providing capital markets, consulting, investment sales, research and valuation services to companies in the hotel sector. CBRE Hotels is comprised of more than 385 dedicated hospitality professionals located in 60 offices across the globe.