Success Story: Renaissance Philly (Note Sale)

  • Jul 12, 2018
  • Marketplace Success Stories

349 key full-service hotel sold via Classic Sale Event for $28.5 MM.

SALE PRICE: $28,500,000
This 349 key full-service lodging facility is just one of many of our exceptional hotel real estate and loan sales, an asset class that has had tremendous success on RealINSIGHT Marketplace.  Faced with the formidable task of selling a non-performing commercial loan secured by a hotel that was set to lose its flag in 3 years, the Seller engaged an experienced, well-rounded investment sales brokerage team with expertise selling loans, real estate, and hotels to market the property on Marketplace. Together with a senior Marketplace associate with a background in hotel asset management to manage the sale process, the brokerage team effectively promoted the value-add opportunity to be gained by purchasing a non-performing loan that had already been granted a foreclosure judgment. In essence, the opportunity to purchase a hotel at cost/key basis below replace cost. The marketing campaign helped investors see beyond the significant cost associated with deferred maintenance and rebranding that is required after the hotel’s flag expiration and resulted in 14 registered bidders pushing each other to bid to pricing well above the seller’s reserve.