This latest addition to its family of assets pushes the hotel group past the $200-million mark on its march towards its goal of $1 billion in acquisitions. Last September Crescent, with new partners Allied Capital and LCP Group, formed a fund to acquire up to $1 billion in hotel assets in the coming 12 to 18 months, as reported by GlobeSt.com.
Since then, the company has invested either through direct investment or JVs with partners. The first acquisition was the 227-room Detroit Marriott Livonia. Earlier this year it partnered with Carlyle Group to acquire a 205-key hotel in Beltsville, MD from Boston-based Pyramid Advisors for an undisclosed amount.
The Richmond and Philadelphia hotels meet the fund's investment criteria, CEO Michael George says. "The properties are a perfect fit with our portfolio profile of upper, upscale hotels and hotels in the 200- to 500-room range, located in primary and secondary US markets, as well as resorts. These two hotels will benefit from our renovation program, as well as very focused management."
The eight-story Embassy Suites in Richmond, located at 2925 Emerywood Pkwy in Richmond, underwent a major renovation in 2006. Crescent plans to spend an additional $2.5-million investment on finishing touches that will put the hotel in like-new condition, George says.
A seven-story structure, Doubletree Guest Suites Plymouth Meeting is located at 640 W. Germantown Pike. It will undergo a $3.5-million renovation program to redo the indoor pool/whirlpool area, add new gym equipment, install 32-inch flat panel televisions and the Sweet Dreams Doubletree bedding package.
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Erika Morphy
Erika Morphy has been writing about commercial real estate at GlobeSt.com for more than ten years, covering the capital markets, the Mid-Atlantic region and national topics. She's a nerd so favorite examples of the former include accounting standards, Basel III and what Congress is brewing.
