Blackstone has sold the 1,003-room Sheraton Phoenix Downtown to Brookfield Asset Management for an undisclosed sum. JLL represented the seller in the transaction.
The 33-story property is the largest hotel in the city. It includes 112,000 square feet of meeting and event space such as the 27,200-square-foot Phoenix Ballroom and the 14,000-square-foot Valley of the Sun Ballroom. There are 26 meeting rooms, with the largest accommodating up to 2,510 guests and 20 breakout rooms available.
Opened in 2008, the hotel underwent a $45 million renovation completed in 2020. Guestrooms occupy floors five through 33 and include eight room types. The tower spans 806,481 square feet.
The hotel includes three food and beverage venues: Carcara, &More by Sheraton and Breeze Bar & Grill. Other facilities include a fitness center measuring 4,300 square feet, an outdoor pool, the Sheraton Club Lounge and business services.
The property is two blocks from the Phoenix Convention Center. Nearby demand drivers include the Footprint Center, Chase Field and Phoenix Symphony Hall. The hotel also borders Arizona State University’s Downtown Phoenix Campus and the Phoenix Bioscience Core.
“The Sheraton Phoenix Downtown represents the rare combination of institutional quality, strategic location and significant scale that attracts best-in-class capital,” said Riley. “Phoenix has established itself as one of the most dynamic lodging markets in the United States, with downtown benefiting from diverse demand drivers including expanding convention business, corporate relocations and the growing influence of Arizona State University’s downtown campus. This transaction validates the strength of the market fundamentals and the appeal of irreplaceable urban assets.”