Could a Change of Ownership Result in a Change of Luck for This Downtown Cleveland Hotel?
- Jul 13, 2015
Downtown Cleveland’s Hilton Garden Inn has a new owner. The property changed hands at the end of June for $16.6 million.
The Cleveland Plain Dealer reports that the hotel was acquired by a joint venture between Starwood Capital Group, based in Greenwich, Ct., and the Schulte Hospitality Group Inc., of Louisville, Ky., in a deal which closed on June 29. Schulte will now manage the Hilton Garden Inn Downtown Cleveland.
The 11-story hotel occupies a 0.7-acre site at 1100 Carnegie Ave. It offers 240 rooms and many amenities, including a restaurant, bar, pool, a 20,000-square-foot conference center, or meeting rooms for up to 500 people. PropertyShark reports that the hotel’s current market value is $11.4 million.
Hilton Garden Inn Downtown Cleveland was constructed in 2000. The hotel slipped into foreclosure in early 2011, after the group which owned it at that time defaulted on a $17.8 million loan. LNR Group, a Miami Beach-based special servicer, stepped in and purchased the property at a sheriff sale in 2012. PropertyShark reports that the sale price was $12.4 million.
The new owners did not reveal their plans for the new hotel. However, with the 2016 Republican National Convention approaching fast, the property could be renovated.
Photo credit: Hilton Garden Inn