KNOXVILLE, TENNESSEE New York-based investment firm Fairwood Capital has closed on the acquisition of the 317-key Hilton Knoxville and plans to renovate it.
The hotel will retain the Hilton Hotels & Resorts brand, and Davidson Hotel Co. has taken over management, Knoxville News-Sentinel reports. The purchase price has not been disclosed; the hotel last traded in 2004 for US$21 million.
Fairwood is planning a US$3 million renovation. The hotel is Fairwood’s seventh, and it fits with the firm’s strategy of acquiring hotels near large public universities; Knoxville is home to the University of Tennessee.
The 30-year-old Hilton Knoxville posted a 2010 occupancy rate of 67.8% and an ADR of US$111.