Supertel Hospitality has announced three acquisitions that signal a new direction for the company that has changed its name to Condor Hospitality Trust.
The company known for operating in the economy arena has signed agreements to acquire three, premium-branded hotels in an off-market transaction for US$42.5 million. The properties are the 116-room SpringHill Suites by Marriott, San Antonio, Texas, the 142-room Hotel Indigo adjacent to the Hartsfield-Jackson Atlanta International Airport in Atlanta, Georgia, and the 120-room Courtyard by Marriott in Jacksonville, Florida. Peachtree Hospitality Management will take management of these assets.
“The acquisition of these three hotels aligns perfectly with the new strategy underway at the company and creates a great opportunity for us to announce the renaming of the company to Condor Hospitality,” CEO Bill Blackham told the StreetInsider.com. “The name Supertel connotes economy and midscale hotels, segments that are no longer part of our future plans, which was an important part of the consideration behind renaming the company. The recently announced prospective acquisitions and the new name are consistent with the dynamic new direction for the company.”
Supertel has been selling off its economy and economy extended-stay hotel portfolio reinvesting into higher quality, significantly newer, upscale portfolio to drive increased shareholder value. Targeted hotels are expected to have an average investment of US$15 to US$20 million with an average age of 10 years or less.