HOUSTON – (Realty News Report) – Lockwood Development Partners has acquired a portfolio of nine hotels across eight states, including properties in Houston and Austin, for $225 million.
The Houston property in the portfolio is a 243-room Crowne Plaza located at 9090 Southwest Freeway near South Gessner Road.
Eddy Nevarez, associate director of Marcus & Millichap’s National Hospitality Division and the exclusive agent for the buyer, said the acquisition reflects a broader effort to adapt hospitality assets that have been negatively affected by the pandemic. “Lockwood Development Partners plans to repurpose these properties and create multi-dimensional assets that will stimulate local economies and provide essential resources and opportunities for veterans and senior citizens,” Nevarez said.
The converted properties will combine a rebranded, environmentally conscious hotel operation with affordable multifamily housing and on-site “ghost kitchens” that allow local food vendors to partner with delivery platforms like Uber Eats without the overhead of a traditional restaurant. In addition, under the framework of the Veterans Affairs’ Mission Act, the properties will offer resources for veterans, including permanent housing options and access to physical and mental health support. SarahCare, an organization focused on senior support services, will assist in delivering programs for older adults at these locations.
“Most of the assets are situated in diverse metropolitan markets such as Austin, Houston, Memphis and Orlando,” Nevarez added. “Their versatility and accessibility will encourage economic growth and expand opportunity. These unprecedented times have demanded creativity and decisive action. This initiative provides relief to the hospitality sector by converting underperforming hotels into multifunctional community assets. Phase one of Lockwood’s hotel repurposing program establishes a model for future large-scale conversions and offers a lifeline to struggling properties while generating tangible benefits for veterans and surrounding communities.”
The 1,550,000-square-foot portfolio of nine hospitality properties includes the following hotels and room counts:
- Crowne Plaza, Memphis, Tennessee — 319 rooms
- Crowne Plaza, Austin, Texas — 293 rooms
- Clarion Hotel, Orlando International Airport — 335 rooms
- Crowne Plaza, Houston, Texas — 243 rooms
- Crowne Plaza, Dayton, Ohio — 283 rooms
- Crowne Plaza, Reading, Pennsylvania — 259 rooms
- Garden Plaza, Marietta, Georgia — 218 rooms
- Former Marriott, Jackson, Mississippi — 303 rooms
- Crowne Plaza, Tulsa, Oklahoma — 286 rooms
Marcus & Millichap’s brokers of record for the respective states involved in the transaction are Ryan Nee (Florida), John Leonard (Georgia), Mickey Davis (Mississippi), Michael Glass (Ohio), Mark McCoy (Oklahoma), Sean Beuche (Pennsylvania), Jody McKibben (Tennessee) and Timothy Speck (Texas).
June 27, 2021 Realty News Report. Copyright 2021.
About related Texas real estate coverage: Houston 2020: America’s Boom Town – An Extreme Close Up by Ralph Bivins is referenced for readers interested in Texas market context.
Caption: The Crowne Plaza in Houston at 9090 Southwest Freeway was part of the sale.
Photo Credit: Ralph Bivins, Realty News Report. Copyright 2021.
File: Nine Hotels Acquired for Redevelopment
File: (2). Lockwood Development Partners. Nine Hotels Acquired for Redevelopment. Marcus Millichap. Crowne Plaza