The Brea, CA-based firm purchased the Holiday Inn Express at 3131 N. Scottsdale Rd. from Scottsdale Lodging LLC of Spokane, WA. With the sale, Scottsdale Lodging exits the Valley hotel market, says Jeff Cunningham, an investment broker with CB Richard Ellis Inc.'s Phoenix-based hotels group who represented the seller along with Bill Murney, prior to his departure from CBRE.

Cunningham tells GlobeSt.com that the hotel was priced aggressively for its brand. "The fact that it was an all-suite hotel and it was larger than other Holiday Inns pushed the pricing," he explains. "Because each room is a suite, it allows you to push the room rate up." Most Holiday Inn Express hotels have about 125 rooms.

The mid-scale hotel has an average occupancy of 66%, an average daily rate of $75 and RevPAR of 49. "There's room to improve," Cunningham says. "There's upside in the market correction and the ASU Research Park will be a strong addition to the area." The seven-year-old hotel is situated near several Scottsdale demand generators such as Scottsdale Stadium, Scottsdale Healthcare Osborn Hospital and the proposed ASU park at the former Los Arcos Mall site.