AWH Partners, LLC – a privately held, New York-based, real estate investment, development and management firm – on Wednesday announced that as a part of the company’s hotel ownership portfolio expansion plan, it has selected Spire Hospitality to manage its newly acquired, eight Embassy Suites Hotels portfolio.
The deal for the eight hotels, with an estimated valutation of US$170 million, is expected to close in January. The transaction involved AWH Partners working through a complicated bankruptcy process involving a quick, all-cash, no-contingency closing. The ownership group will invest more than US$50 million in physical upgrades to complete a substantial repositioning to the portfolio over the next two years.
Upon taking over the Embassy Suites Hotels, Spire Hospitality will immediately begin to reposition the assets, including supporting AWH Development in implementing the capex program.
The collection includes the 205-room Embassy Suites Denver – Southeast, the 206-room Embassy Suites Colorado Springs, located in Colorado Springs, Colorado, the 240-room Embassy Suites Seattle – Bellevue, located in Bellevue, Washington, the 240-room Embassy Suites Seattle – North/Lynnwood, located in Lynnwood, Washington, the 354-room Embassy Suites Portland – Washington Square in Tigrad, Oregon, the 235-room Embassy Suites Cincinnati – Northeast (Blue Ash), located in Blue Ash, Ohio, the 239-room Embassy Suites Detroit – Livonia/Novi, located in Livonia, Michigan and a hotel in El Paso, Texas, to regain Embassy Suites flag. “The acquisition of this portfolio marks a banner year for AWH and brings our investment in hotels to more than $400 million and 3,700 keys since 2011,” says Russ Flicker, principal AWH Partners. “We are very excited about the opportunities for growth in 2014 in hospitality and beyond.”
Bill DeForrest, president and CEO of Spire Hospitality, said, “Our substantial experience repositioning hotels, including both strong capital and operational transformations, give us the confidence and knowledge to take on a project of this magnitude and deliver on AWH’s ownership objectives. We are looking forward to building on the existing team’s current and future commitment to great guest service and operational performance.”