Molinaro Koger Transacts $500 Million in Hotels in Past Three Months
February 22, 2011 ·
WASHINGTON, D.C., (Hospitality Business News) February 22, 2011—Amid growing signs of a rapidly rebounding hotel real estate market, Molinaro Koger(MK), a global hotel-exclusive real estate brokerage, advisory and capital markets firm, today announced that the firm has represented sellers of $500 million in hotels in nine separate transactions during the past three months.
“The global hotel real estate market began awakening in the 2010 third quarter and is becoming more active every day,” said Robert T. Koger, MK president. “Values have come back to where owners are more comfortable transacting and buyers are seeing an upward trend in RevPAR, which is fueling the increase in activity. Financing is becoming increasingly available, although cash is still king.”
Koger noted that both individual assets and portfolios are coming to market. “Real estate investment trusts are very active, accounting for nearly half of all institutional-quality transactions because of their lower cost of capital and different investment return requirements,” he said. “Europe is just beginning to firm up and we expect transactions there to accelerate over the next 12 to 18 months.”
Highlights of the transactions include:
- Grand Hyatt Tampa Bay (Florida)—MK represented Hyatt Hotels & Resorts in the sale of this14-story luxury resort featuring 445 rooms, including 45 waterfront casitas and 23 suites. Located on approximately 35 acres, the property offers 43,000 square feet of flexible indoor and outdoor function space, two upscale restaurants, a café and lobby lounge, swimming pools, tennis courts, business center and florist.
- Radisson BLU Palais Hotels, Vienna, Austria—MK transacted the sale of this five-star hotel for B&C Holdings. Centrally situated on the Ringstrasse in the historic old town and core of Vienna, the 247-room property faces the Ring and the Stadtpark. The hotel consists of two connected palaces built in the 19th century. The hotel provides a restaurant, lighter fare café and bar.
- Hilton Alexandria Mark Center, Alexandria, Va.—MK represented joint-venture owners Amstar and Davidson Hotels in the sale of this 31-story, 496-room hotel located inside the Washington Beltway close to Washington, D.C. The hotel features 45,000 square feet of meeting space, including more than 7,500 square feet of IACC-certified conference space, plus 10,000 square feet of outdoor lakeside event space. Amenities include a heated indoor/outdoor swimming pool, executive health club, barber shop and gift shop, a steakhouse/seafood restaurant, Starbucks Coffee Shop, lobby lounge and sushi bar.
- Xona Resort Suites, Scottsdale, Ariz.—MK oversaw the sale of this resort for Capmark Bank. Located in the heart of the exclusive Princess Community in North Scottsdale, the 431 all-suite, highly landscaped property is on approximately 12 acres. The resort features four outdoor pools with whirlpools, fitness center, gift shop and a free-standing restaurant and lounge, as well as a golf concierge. The oversized suites include separate living rooms, balconies, dining rooms and full-sized kitchens.
- Sheraton Premiere at Tysons Corner, Va.—MK acted on behalf of joint-venture sellers Felcor Lodging Trust and Starwood Hotels & Resorts on this major hotel located in one of the nation’s most desirable suburban markets. Sitting on approximately nine acres, the 443-room hotel offers 40,000 square feet of meeting space, including a nearly 11,000 square-foot grand ballroom. The property features a heated indoor and outdoor swimming pool, Jacuzzi and sauna, health club, salon, upscale restaurant and lounge.