OAK BROOK, ILL.—Inland American Lodging Group Inc. (IALG), a wholly owned subsidiary of Inland American Real Estate Trust Inc. (Inland American), has announced purchase agreements with hotelier and developer Richard Kessler in which IALG will acquire three artistically inspired hotels.
Hodges Ward Elliott advised the seller on the transaction. The properties will continue to be managed by Kessler Collection Management under a 10-year management agreement.
The portfolio of boutique hotels includes:
• The Grand Bohemian Hotel in Orlando, Fla., for which closing is expected to occur by December 2012. Opened in 2001, the hotel offers 247 guest rooms, a heated outdoor pool and approximately 10,000 sq. ft. of meeting space in close proximity to Disney parks and attractions.
• The Bohemian Hotel Savannah Riverfront in Savannah, Ga., for which closing occurred in August 2012. This acquisition was partially financed with a new $27.5 million first mortgage loan provided by Bank of America. Located along River Street, the property was opened in 2009 and contains 75 rooms.
• The Bohemian Hotel Celebration in Celebration, Fla., for which closing is expected to occur in January 2013. Opened in 1999, the hotel includes 115 guest rooms.
"These hotels have a combined average RevPAR in excess of $140 today and are well positioned to experience strong growth from their recent affiliation with Marriott's Autograph Collection," said Marcel Verbaas, president and CEO, Inland American Lodging Advisor Inc.