After acquiring a resort in South Carolina earlier this week, Carey Watermark Investors (CWI) announced today that it has made a second acquisition in the American South. Now the proud owner of Staybridge Suites Savannah Historic District in Savannah, GA, CWI purchased the 104-room hotel for $25.5 million, including closing costs.
CWI is a non-traded REIT that invests in lodging and lodging-related properties. Chief Executive Officer of CWI, Michael Medzigian, commented, “The acquisition of the Staybridge Suites Savannah Historic District represented the opportunity to invest in a high quality, select-service property in a top tourist location with high barriers to entry. “
Savannah’s bustling historic district is the largest National Historic Landmark District in the United States. Steeped in history, the district contains museums, churches, mansions, monuments, and forts of the Revolutionary and Civil War eras. Just one mile north of the hotel lies Savannah College of Art and Design, attended by over 10,000 undergraduates. The hotel is also in close proximity to a number of boutiques, galleries, and restaurants, being located on East Bay Street, just a block away from River Street.
The hotel’s rooms are located in a two-story and four-story building. It features 1,050 square feet of meeting space and fitness and business centers. It also offers complimentary breakfast.
While the hotel has a recently renovated lobby, CWI plans to make improvements to rooms and corridors.
Mr. Medzigian stated, “We believe that our planned renovations of both rooms and corridors, in conjunction with the recent renovation of the lobby, will further enhance the property.”
The Savannah Historic District market has delivered strong and consistent occupancy since the late eighties.
Knowing this, Mr. Medzigian confidently added, “The addition of this asset to the CWI portfolio will be accretive to current cash flow and has the potential to create future value for our investors.”