Inland Picks Up Andaz Hotels for $115M
OAK BROOK, IL?Inland American Lodging Group, Inc., a wholly owned subsidiary of?Inland American Real Estate Trust, Inc.,?has just acquired an?Andaz?hotel in Napa, CA, and one in Savannah, GA, for about $115 million. The hotels, both part of Chicago-based?Hyatt Hotels Corp.’s?boutique lifestyle brand, will be the second and third Andaz hotels in Inland American?s portfolio, following the purchase of?Andaz San Diego?earlier this year. A Hyatt affiliate will continue to manage both hotels.
?The purchase of these hotels further exemplifies our strategy of seeking continued improvement in the quality and performance of our portfolio through targeted acquisitions, selective dispositions, superior asset management and thoughtful capital improvements,? says?Marcel Verbaas, president and CEO of Orlando-based?Inland American Lodging Advisor, Inc.?The firm currently oversees 93 hotels with 17,822 rooms under various brands including?Marriott,Hilton,?Starwood, Hyatt,?Fairmont, and?IHG. Brand managers or independent third-party management companies typically manage the hotels.
The five-story?Andaz Napa?has 141 rooms, including 89 lofts and suites. Constructed in 2009 and branded as an Andaz in 2012, the hotel offers 6,800-square-feet of meeting and event space and includes a 4,200-square-foot outdoor terrace. The property sits within downtown Napa?s entertainment and retail district.
Andaz Savannah, which was built in 2009 and branded as an Andaz in 2012, has 151 rooms on six floors, including 68 lofts and suites. It features 6,700-square-feet of meeting and banquet space, allowing the hotel to host both small and intermediate-sized events. This property sits within Savannah?s historic district, within walking distance of major attractions including historic neighborhoods, the?City Market?and?Boughton Street.
?This transaction allows Hyatt to retain its brand and management presence in the Savannah and Napa markets and furthers our capital recycling strategy,? says?Stephen Haggerty, global head, real estate and capital strategy for Hyatt. ?As the owner of Andaz San Diego, Inland American truly understands the essence of the Andaz brand and we are delighted to broaden our relationship with a quality owner and look forward to future collaboration.?