News for the Hospitality Executive
OAK BROOK, Ill. - March 19, 2103 --Inland American Lodging Group, Inc., a wholly owned subsidiary of Inland American Real Estate Trust, Inc., announced today that it has acquired the six-story, 159-room Andaz San Diego, a boutique luxury hotel managed by Hyatt for a purchase price of $53 million, or approximately $333,000 per key.
“We are very pleased to be adding this luxury asset to our portfolio,” said Marcel Verbaas, president and CEO, Inland American Lodging Advisor, Inc. “This purchase aligns with our objective to acquire Luxury, Upper-Upscale and urban Upscale hotels in the top 25 lodging markets. San Diego is a strategic west coast location with seven-day-a-week social and business demand generators and we are excited that we have been able to acquire one of the highest quality hotels in the downtown market at a substantial discount to development cost.”
The Andaz San Diego is ideally located in the vibrant Gaslamp Quarter near the San Diego Convention Center, PETCO Park and the San Diego Bay. The hotel has 159 guestrooms (including 17 suites), 18,500 square feet of indoor and outdoor meeting space, four restaurants and entertainment venues complete with a rooftop lounge and deck with a heated pool and a health club. Developed as the Ivy Hotel in 2007, the property was branded as the Andaz San Diego in 2010. The hotel recently debuted its newest signature restaurant, Katsuya by Starck San Diego, a leased operation occupying 6,000 square feet of indoor/outdoor space on the lobby level.
Andaz is Hyatt’s luxury boutique brand. The Andaz brand is a distinctive collection of hotels in urban and resort locations. Each property is unique in that the design aesthetic and its unique signature elements are reflective of the neighborhood and location of the property.
“We believe there is substantial operational upside as the Andaz brand matures and as a result of Hyatt’s efforts to grow and support the brand,” Mr. Verbaas continued. “We look forward to working with Hyatt to maximize profitability at the hotel and take full advantage of the projected RevPAR growth in the San Diego market.”
Hyatt will continue to manage the hotel. The Andaz San Diego represents the third Hyatt-managed hotel in Inland American’s portfolio.
About Inland American Lodging Advisor, Inc.
Inland American Lodging Advisor, Inc., located in Orlando, FL, focuses on acquiring and managing a diversified portfolio of lodging properties on behalf of Inland American Real Estate Trust, Inc. Inland American Lodging Advisor, Inc. currently oversees 91 hotels 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. For further information regarding Inland American Lodging Advisor, please refer to the company website at www.inlandamericanlodging.com.
About Inland American Real Estate Trust, Inc.
Inland American Real Estate Trust, Inc. focuses on acquiring and developing a diversified portfolio of commercial real estate located in the United States. The company also invests in joint ventures, development projects, real estate loans and marketable securities. As of December 31, 2012 Inland American owned, directly or indirectly through joint ventures in which it has a controlling interest, 794 properties, representing approximately 46 million square feet of retail, industrial and office properties, 10,523 multi-family units and 16,345 lodging rooms. Inland American is one of six REITs that are, or have been, sponsored by affiliates of The Inland Real Estate Group of Companies, Inc. For further information regarding Inland American, please refer to the company website at www.inlandamerican.com.
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