Inland American Lodging Group, Inc. and Hyatt Hotels Corporation (NYSE: H) announced that IALG has acquired a portfolio of two Andaz hotels for approximately $115 million. The hotels, both part of Hyatt’s boutique lifestyle brand, are located in Napa, Calif., and Savannah, Ga. These will be the second and third Andaz hotels in Inland American’s portfolio, following the purchase of Andaz San Diego completed earlier this year. A Hyatt affiliate will continue to manage both hotels.
“We are very pleased to be expanding our relationship with Hyatt through the acquisition of these boutique lifestyle hotels, operating under the exciting and growing Andaz brand,” said Marcel Verbaas, president and CEO, Inland American Lodging Advisor, Inc. “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.”
“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.”
The five-story Andaz Napa features 141 rooms, including 89 oversized lofts and suites. Constructed in 2009 and branded as an Andaz in 2012, the Napa hotel offers 6,800 square feet of meeting and event space, highlighted by a 4,200-square-foot outdoor terrace. The property is located in downtown Napa’s lively West End district near popular shopping, dining and entertainment venues.
Andaz Savannah, which was built in 2009 and branded as an Andaz in 2012, features 151 rooms on six floors, including 68 lofts and suites, and features 6,700 square feet of meeting and banquet space, allowing the hotel to accommodate both small and intermediate-sized groups. The property is located in 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,” said 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.”
Inland American Lodging Advisor, Inc., located in Orlando, FL, focuses on acquiring and asset managing a diversified portfolio of lodging properties on behalf of Inland American Real Estate Trust, Inc. Inland American Lodging Advisor, Inc. currently oversees 93 hotels with 17,822 rooms branded under various Marriott, Hilton, Starwood, Hyatt, Fairmont, and IHG brands that are managed either by the brand managers or independent third-party management companies.
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