IRVING, Texas & LOS ANGELES & ATLANTA--(BUSINESS WIRE)--Officials of Solid Rock Group, an investment and advisory firm focused on the hospitality, healthcare and media sectors, today announced that it successfully led the acquisition, in separate transactions, of the 122-room Anza boutique hotel and the 128-room Courtyard Atlanta Airport West on behalf of a private investment group for an undisclosed sum. Solid Rock also has been retained to provide on-going advisory and asset management services for the two properties on behalf of ownership. The deals were brokered by Eastdil Secured, LLC, and Hunter Hotel Advisors, respectively.
“Our institutional investors, high net worth family offices and sovereign fund clients are seeking highly experienced advisors in this phase of the hotel real estate cycle,” said Charlie Muller, who recently joined Solid Rock as a principal and managing director of its Dallas office. “While the outlook for the hotel industry remains positive over the next few years, there are a number of unknowns, such as moderating RevPAR growth, BREXIT and the upcoming presidential election, that can impact investor sentiment of the industry. Investors seek acquisition candidates that have strong upside, as well as the ability to withstand an economic downturn. As a result, we have seen a significant uptick in the need for acquisition and asset management advisory services.
“With these two hotels, we have advised on more than $675 million of hotel transactions year-to-date and are actively engaged in negotiations on behalf of investors for an additional $510 million,” he noted. “Due to our long-standing relationships with hotel owners, operators, investors and brokers, we are able to move quickly to identify, negotiate and close on both on and off-market transactions.” With more than 100 combined years of hospitality expertise by its principals, Greg Rice, Salim Damji and Charlie Muller, Solid Rock assists owners and investors by identifying acquisition candidates that not only reflect the buyer’s investment strategies, but that also take into consideration potential debt negotiations, flag and management company selection, operations oversight and exit strategies that maximize return on investment.
“Our clients continue to have a healthy appetite for hotels in the top 50 MSAs,” Muller added. “Concurrently, they seek advisory services to acquire existing or develop new properties and execute plans to optimize value, both near term and long term.”
Located at 23627 Calabasas Road in Calabasas, Calif., one of L.A.’s most affluent suburbs, the upscale, boutique hotel is surrounded by numerous dining, retail and business office outlets and adjacent to the 101 Ventura Freeway. Demand generators include the 215,000 square-foot Commons at Calabasas, a regional lifestyle center and entertainment destination, and the Warner Center Office Concentration in neighboring Woodland Hills, the corporate and commercial hub of the San Fernando Valley.
Guest rooms feature upscale furnishings, complimentary wireless Internet access, spacious bathroom with walk-in shower and rain shower head, microwave, refrigerator and coffeemaker. Hotel amenities include the Graze Bistro & Bar, heated pool, 24-hour fitness center, state-of-the-art business center and access to 1,000 square feet of private meeting space able to accommodate up to 50 people.
“Through our long-standing relationships with national, regional and local banks, we negotiated a long-term loan for the hotel with historically attractive rates, which will enhance returns,” Muller commented. “This property is located in an impossible-to-replicate location in the southwestern San Fernando Valley. Our analysis of the property revealed it will benefit from strategic capital improvements, enhanced asset management and greater focus on marketing and operating margin control.” The improvements are expected to commence in the fourth quarter with a targeted completion date of the second quarter 2017.
Courtyard Atlanta Airport West
Situated three miles from Hartsfield-Jackson International Airport, the Courtyard Atlanta Airport West is just a 10-minute drive from downtown Atlanta. Across the street from the more than 1.2 million square feet of premium retail space Camp Creek Marketplace, the hotel is situated within Camp Creek Pointe, at the entrance of Camp Creek Business Center an industrial development of four million square feet of developed space.
The four-story hotel features a recently renovated lobby and guest rooms, the Courtyard Bistro & Bar, 24-hour fitness center, 24-hour business center, outdoor pool and complimentary wireless and parking. Additionally, the Courtyard provides nearly 2,000 square feet of meeting space that can accommodate up to 150 people.
“We are working with our new management company to implement an effective capital expenditure plan,” Muller said. “The hotel will be in ‘like new’ condition in the near future, creating an opportunity for upside. The Atlanta airport submarket is strong, and the hotel’s close access to downtown Atlanta gives us greater demand generators, positioning the hotel well in all phases of the real estate cycle.”
About Solid Rock Group
Founded in 1991 by 45-year real estate veteran Greg Rice, Solid Rock Group is an investment advisory and asset management firm that serves the hotels/resorts, healthcare and media sectors. Its hospitality practice specializes in providing advisory services to third-party clients that do not have the desire to create the high-level infrastructure required. Solid Rock’s extensive experience in acquisitions, development, asset management, consulting, brokerage and financing has involved more than 200 properties and $8.25 billion of market value over the past 25 years. Solid Rock Group has offices in New York, Dallas, Denver, Santa Barbara and Honolulu. Please visit www.solidrockgroup.com for additional information.