Banyan Investment Group and Investra Investments have purchased the Comfort Suites in Newport, Kentucky, located on the Ohio River directly across from Cincinnati, Ohio, a metropolitan area of more than two million people.
The six-story, 124-all suites property will undergo a $1.75 million renovation during the next few months that will meet or exceed architectural and brand standards specified by Choice Hotels International.
Built in 1997, the hotel includes amenities such as a business center; an exercise room and fitness center; three conference rooms with combined flexible meeting space of almost 3,100 sq. ft.; and 10 two-room presidential suites with wet bars and whirlpool tubs. The hotel has a dedicated streetcar stop that conveniently provides guests with transportation to downtown Cincinnati.
This is the fifth transaction together for Banyan and Investra during the past 18 months, bringing the value of their joint portfolio to more than $80 million in acquisition and improvement costs.
“This latest acquisition is an important step forward toward our company’s objective of establishing an initial portfolio that exceeds $100 million, that consists of select service hotels, and that is built on a value-added strategy,” said Mobeen Jassat, senior principal with Dubai-based Investra.
“With a U.S. presence, we have expanded rapidly and responsibly in North America — and we are pro-actively reviewing additional growth opportunities within the hospitality sector.”
According to Andy Chopra, principal and Chief Investment Officer with Atlanta-based Banyan Investment Group, “Our firm continues to solidify its nationwide presence by identifying hotels whose performance can be enhanced and expanded by building on existing strong core qualities such as asset value, demand generators, and a recognized brand.”
Demand generators for the Comfort Suites in Newport include the nearby world headquarters of Proctor & Gamble, The Kroger Company, Macy’s, AK Steel Holding Company, and GE Aviation. Also convenient is the Duke Energy Convention Center, as well as the educational campuses of the University of Cincinnati, with an enrollment of almost 44,000, and Northern Kentucky University, with an enrollment of almost 16,000.
Immediately adjacent to the hotel is Newport on the Levee, an urban retail and entertainment center that includes the world-class Newport Aquarium plus a movie theatre complex with 20 screens and 4,000 seats. Located within two miles are the stadiums for the Cincinnati Bengals football team and the Cincinnati Reds baseball team.