ATLANTA—On the heels of a successful turnaround, The W Hotel Atlanta Downtown has a new owner. A partnership led by Square Mile Capital Management just sold the hotel to Ashford Hospitality Trust.

The 237-room hotel, which was acquired via deed in lieu of foreclosure in 2010, was sold for about $240,000 per room. That equals about $58 million.

“During 2010-2012, in the aftermath of a crippling recession and at the bottom of the market cycle, Square Mile was one of the industry's most active investors in sub-performing hotel debt, buying partial or full stakes in a total of over 100 senior mortgages,” says Square Mile Senior principal Nolan Hecht. “Given the strength of the subsequent market upswing, it's clear that our timing couldn't have been better.”