Feb. 17—The Sheraton Metairie New Orleans Hotel, one of the largest hotels in Jefferson Parish, has been sold to an Atlanta-based family of hoteliers.
The hotel, which is located across the street from the 22-story Galleria office complex by the I-10 clover junction at North Causeway Boulevard, was sold to Jamal and Shereza Tajuddin, whose firm Generation Hospitality will operate it, according to HREC, the brokerage firm that handled the transaction.
The seller was Indianapolis-based Hotel Capital, a private equity real estate investment firm that bought the 181-room hotel in 2017 from a consortium comprised of JDC Holdings, Songhy HighRoads, and HNW Family Office.
The latest sale is the fourth time the hotel has changed hands since it was built in 2001/2002 at a cost of about $18.5 million, according to Len Wormser, a senior vice president at HREC and one of the original developers of the hotel.
The sale price was not disclosed but HREC said the transaction involved “a creative financing structure.”
When Hotel Capital bought the property in 2017 it put the acquisition cost and planned renovation at $20 million. The company said at the time that the purchase was the result of “a 1031 tax-free exchange,” referring to the tax code that allows owners to swap one investment property for another and defer capital gains tax.
The Tajuddin family also owns and operates the Country Inn & Suites on Read Boulevard in New Orleans East, and last year they bought the 143-room Radisson Hotel Atlanta Airport last July for an undisclosed price.