The 131-room Hampton Inn in Plano is the latest to go, bringing in about $5.5 million. Details about the buyer, Premier Hospitality Management, are not available.
RFS still owns six hotels in Texas, two of which are limited-service Hampton Inn brands. "We wouldn't want to speculate on any of those hotels," an inside source told GlobeSt.com. "I'm not aware that any of those hotels are slated to be sold." The properties are located at 8620 Airport Blvd. in Houston and 7903 San Dario in Laredo. The Plano facility is positioned at 4901 Old Shepard Place.
"The sale ... is consistent with the company's strategy of reducing its investment in limited-service hotels," says Randy Churchey, RFS president and COO. According to a company statement, RFS will now receive only 24% of its EBITDA from limited-service brands, down from about 43% in year 2000. He says the sale price results in about $1 million loss yet any proceeds derived will be applied to debt reduction.
In late October, RFS had sold the 124-room Hampton Inn in Warren, MI for $5.4 million. Earlier in October, the 280 Hawthorn Suites Atlanta Northwest had fetched about $21 million from Schaedle Worthington Hyde Properties LP.
The REIT owns 59 hotels with about 8,600 rooms in 24 states. In Texas, RFS also owns a Holiday Inn Express in Austin; Residence Inn and TownePlace Suites, both in Ft. Worth; and Residence Inn in Tyler.
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