RIO DE JANEIRO Host Hotels & Resorts has acquired the 245-key JW Marriott Hotel Rio de Janeiro for a total of US$47.5 million, or about US$194,000 per key.
The JW Marriott, which is Host’s first property in Brazil, is located adjacent to the famed Copacabana Beach. Marriott International will continue to operate the property under a long-term management agreement.
Jones Lang LaSalle Hotels arranged the sale on behalf of Marriott.
“Host’s acquisition represents a very strategic move on this trophy asset,” says Gregory Rumpel, executive vice president for Jones Lang LaSalle Hotels in Miami. “Host was able to acquire the fee-simple interest in an extremely high-barrier-to-entry location in a market which is experiencing exponential growth,”
Brazil’s economy is the eighth largest economy in the world and is predicted to be fifth by 2016. Brazil and Rio de Janeiro, respectively, will host the 2014 FIFA World Cup and 2016 Olympics, two of the world’s biggest sporting events, in the space of just two years.
“The JW Marriott represents a great result for all parties involved and exemplifies the continued transaction environment in Rio de Janeiro, as many of the major assets in the market have traded in the last 24 months, says Ricardo Mader, São Paulo-based executive vice president for Jones Lang LaSalle Hotels. “We are excited about the JW Marriott and our continued momentum in the transaction services business within Brazil.”
