The Newport Beach-based Crown Realty completed the purchase through a subsidiary, PV Resort and Associates LLC. The company hopes to kick off an estimated $20-million renovation and repositioning project by the start of the fourth quarter. "This is 28 acres of prime real estate," Thomas Morone of Phoenix-based Warnick & Co., which represented Hilton in the deal and now represents Crown Realty in the renovation campaign, tells GlobeSt.com. "From the buyer's side, they saw a very attractive place as a hotel, but they also saw a land development opportunity."

The 262-room hotel was built in 1978. Located at 4949 E. Lincoln Dr. in Paradise Valley west of Scottsdale, the resort represents a significant development opportunity in an area known for its multiple restrictions on new development of any kind, says Morone. Crown Realty plans to reposition the property as a four-star resort with for-sale, single-family homes and resort villas. Approximately seven acres will be set aside for the residential portion of the project.

Hilton will continue to manage the resort although a new name has not been chosen. Amenities will include a spa, 20,000 sf of meeting space and a resort-style pool. Morone says the developers expect the resort to attract group and leisure travelers, especially since 60% of Phoenix's hospitality market comes from groups.