Rockpoint Group LLC and its affiliates completed two hotel sales over the last three weeks, generating $375 million in proceeds.
The most recent transaction occurred on July 2, 2013, with the sale of the 1,053-room Boston Park Plaza Hotel & Towers to a public lodging REIT for $250 million, or $237,400 per key, two years after Rockpoint bought the property.
During its ownership, Rockpoint, in partnership with Highgate Hotels and affiliates of the Donald Saunders Family LLC, added 112 hotel rooms, updated the lobby, restaurant and guestrooms, added street-level retail space, and improved revenue and operating profit. The 14-story Boston Park Plaza, formerly the Statler Hotel, opened in 1927 and is located in Boston's historic Back Bay, adjacent to the Boston Common and Public Garden.
In mid-June, the firm sold its interest in the Courtyard by Marriott Waikiki Beach to Highgate Hotels, Inc., which was managing the hotel, in a transaction valuing the property at $125 million. Lodging Capital Partners LLC was Rockpoint’s partner when the hotel was acquired in June 2011 for $85 million. The Courtyard by Marriott Waikiki Beach is a 401-room limited service hotel centrally located in the Waikiki submarket of Oahu.
Over the last nine months, Rockpoint has sold or recapitalized seven hotels with an aggregate value of $1.5 billion. In addition to the Boston Park Plaza and the Courtyard Waikiki, these hotels include the Alex Hotel, the Flatotel, and the Milford Plaza, all in New York City; the Bacara Resort & Spa in Goleta, California near Santa Barbara; and the Hotel Le Parc in Paris, France.