OAK BROOK, ILL. — Rosemont, Ill.-based First Hospitality Group (FHG) Inc. will manage The Drake Oak Brook Hotel in Oak Brook, the suburban counterpart of Chicago’s famous Drake Hotel. Originally built in 1961, The Drake Oak Brook is currently closed and is undergoing a significant revitalization of the exterior, entrance, public space, office space and guest rooms. Under FHG’s management, the property will offer 80 guest rooms and 50 suites for long-term stays that are designated as Residences at the Drake. The renovation also includes 11,300 square feet of meeting space and a 2,000-square-foot outdoor patio overlooking the fountain, along with several ballrooms and meeting rooms. The Drake Oak Brook Hotelis scheduled to reopen as an independent hotel this fall. The hotel is in close proximity to O’Hare International Airport and more than five luxury golf resorts. The Drake Oak Brook joins 20 other Illinois hotels in FHG’s growing national management portfolio.
Hospitality
FALLS CHURCH, VA. — Hilton Worldwide has opened its 600th Hilton Garden Inn hotel: Hilton Garden Inn Falls Church in Falls Church, about seven miles from Washington, D.C. The hotel features a 24-hour business center, fitness center, indoor pool and in-house restaurant. Inns of Falls Church LLC owns and manages the asset.
JERSEY CITY, N.J. — Concord Hospitality Enterprises has started construction on Hyatt House hotel located within the Exchange Place district of Jersey City. Located at One Exchange Place, the 13-story, 258-room extended-stay hotel will feature 10,000 square feet of street-level retail space, a rooftop, outdoor lounge and upper-level lobby. The hotel is part of a public/private revitalization effort that will bring 350 construction jobs and 80 permanent and 60 part-time hotel jobs to the area. The development will involve the renovation and expansion of an existing building and the demolition of other abandoned structures to allow for the 10,000-square-foot addition. The project is an adaptive re-use of a 92-year-old bank building and represents an investment of more than $90 million in Jersey City that will produce more than $1.6 million in annual revenue to the city. The hotel is expected to open as early as December 2015.
GAINESVILLE, FLA. — InterContinental Hotels Group (IHG) has signed a deal to bring a 120-room Hotel Indigo to Celebration Pointe, a new 125-acre mixed-use neighborhood being developed in Gainesville. The hotel will be located within the project between S.W. 49th Terrace and S.W. 50th Terrace. The hotel will feature a neighborhood bar and an interactive touchscreen display called Neighborhood Guide that guests can use to explore the area. The $170 Celebration Pointe development is scheduled to open by fall 2016. The Hotel Indigo Gainesville is also expected to open in 2016. Celebration Pointe Hotel Partners LLC owns the hotel, and Driftwood Hospitality will manage it upon completion.
FREMONT, CALIF. — Ashford Hospitality Trust has acquired the 357-room Fremont Marriott Silicon Valley hotel for a reported $50 million. The hotel is located at 46100 Landing Parkway in the Silicon Valley submarket of Fremont. The hotel also contains 15,000 square feet of meeting space spread throughout 19 flexible meeting rooms. It will be managed by Remington Lodging. Cushman & Wakefield Global Hospitality served as the exclusive advisor to AIG. The team also served as exclusive advisor to AHT in arranging the $37.5-million financing for the hotel’s acquisition. The floating-rate loan was provided by a money center bank. Daniel MacDonnell, James Escarzega and Steve Michels served as advisors to AIG in the sale. MacDonnell and Michels also served as advisors to AHT in the acquisition’s financing.
CLEAR LAKE, IOWA — Dougherty Funding has provided a $3.5 million first mortgage loan for the refinancing of the Best Western Holiday Lodge in Clear Lake, approximately nine miles west of Mason City. Clear Lake Hotel Associates LLC was the borrower. The 136-room hotel is situated on approximately seven acres and includes a Bennigan’s Grill & Tavern restaurant. The property features a heated indoor swimming pool, 24-hour exercise facility, business center/work area, and 5,600 square feet of meeting space. Clear Lake Hotel Associates has begun upgrading the guestroom bathrooms and is planning to make improvements to the interior of the Bennigan’s restaurant.
FRANKLIN, TENN. — HFF has arranged the sale of Franklin Marriott Cool Springs, a 300-room hotel located at 700 Cool Springs Blvd. in the Cool Springs office district in Franklin, a suburb of Nashville. The hotel includes three restaurants, a fitness center, business center, indoor pool and three concierge floors. The hotel is connected to the Cool Springs Conference Center. Daniel Peek, K.C. Patel and Cyrus Vazifdar of HFF represented the seller in the transaction.
SANTA CRUZ, CALIF. – The 33-room Casa Blanca Inn in Santa Cruz has sold to Kishor and Nita Patel for $7.2 million. The hotel is located at 101 Main Street. Acquisition financing was provided by Bruce Whitaker of TMC Financing through the SBA 504 commercial real estate loan program. The lender was Bank of The Orient. The transaction was facilitated by Neville Parujanwala of hospitality management firm Hospitality Funding.
HOUSTON — Songy HighRoads and The Carlyle Group have closed on construction financing and the subdivision of land for a second hotel in the Galleria Place mixed-use project in Houston. Carlyle’s share of the equity comes from Carlyle Realty Partners VI, a $2.34 billion real estate investment fund. The new Hyatt Place will be a 157-room, select-service hotel at the intersection of Sage Road and West Alabama Street near Galleria Mall. It will join the 325-room Hyatt Regency full-service hotel, which broke ground last December. Both hotels are expected to be completed in the fourth quarter of 2015. Amegy Bank provided construction financing. Gensler performed Hyatt Place’s architectural design. McCarthy Construction is the general contractor. The site spans 7.6 acres.
CRANBERRY TOWNSHIP, PA. — Hilton Worldwide has opened its 38th Home2 Suites by Hilton worldwide. Located at 1401 Cranberry Woods Dr. in Cranberry Township, the property is the fourth of the brand in Pennsylvania and the second in the Pittsburgh metro area. Home2 Suites by Hilton Pittsburgh Cranberry is located 30 minutes from the Pittsburgh International Airport and one mile from the City Center. The 79-suite hotel, which is owned and managed by Vista Host, features an Oasis lobby area, Home2 MKT, Spin2 Cycle and complimentary continental breakfast.