Two Orlando-area hotels, a Hampton Inn & Suites and a Holiday Inn Express & Suites, sold for $17.1 million.
The 81-room Hampton Inn and the 77-room Holiday Inn are in Apopka, are 13 miles north of Orlando.
The buyer paid an average of $108,227 per room for the two-hotel portfolio and financed the acquisition with a $15.9 million bank loan.
The buyer also plans to use some of the loan proceeds to finance $2 million of property improvements to the hotels, both built in 2010.
Brokerage firm Marcus & Millichap represented the seller, found the buyer and arranged the acquisition financing.
The blended loan-to-cost ratio of the loan to acquire the two hotels was 80 percent, according to Robert Bhat, a Miami-based director of Marcus & Millichap Capital Corp., who arranged the financing.
“The sale underscores the strength of the Orlando hospitality market, where high average daily room rates and revenue per available room are attracting the interest of experienced hospitality property investors,” Kabani said in a prepared statement.
— Mike SeemuthThe two hotels have a combined annual room revenue in excess of $5 million a year, according to Ahmed Kabani, first vice president investments in the Miami office of Marcus & Millichap, represented the seller and found the buyer.
This post originally appeared on therealdeal.com