Downtown Courtyard by Marriott Hotel Sold for $71.1MTuesday, June 4, 2013
Philadelphia-based Hersha Hospitality Trust has purchased the 245-room Courtyard by Marriott San Diego Downtown hotel for $71.1 million.
The seller of the property, at 530 Broadway near Sixth Avenue, was Wheelock Street Capital LLC of Greenwich, Ct., according to CoStar Group.
Wheelock and the property’s management firm, Sage Hospitality, recently announced the completion of a $5.8 million renovation, which included public spaces, meeting rooms and guestrooms.
The hotel is housed in the historic San Diego Trust and Savings Bank building, dating back to 1928, and operators said elements of the original building were preserved during the renovation.
In its own statement, Hersha Hospitality Trust officials said the San Diego purchase was part of its strategy to boost its position in high-barrier-to-entry markets with strong growth prospects.
Hersha announced the San Diego purchase along with its $21.8 million acquisition of the 140-room Residence Inn Coconut Grove in Miami, Fla. Both purchases are being funded with cash on hand and borrowings from Hersha’s credit facility.
Hersha Hospitality Management, also known as HHM, will oversee daily operations of both properties, the statement said.
Hersha Hospitality Trust trades under the symbol HT on the New York Stock Exchange. The company owns 65 hotels in seven U.S. markets, totaling 9,552 rooms.
— SDBJ Staff Report