VANCOUVER—American Hotel Income Properties REIT LP (AHIP) has completed its acquisition of a 70-room hotel located in Fort Scott, KS, for an aggregate purchase price of $3.315 million including planned capital expenditures and excluding closing and post-acquisition adjustments.
The Fort Scott property is secured by a new multiyear rail crew lodging contract with one of the largest railway companies in the United States, which guarantees the majority of the property’s available guestrooms. AHIP funded the purchase of the Fort Scott property with cash on hand and expects to refinance the property with a new mortgage by the end of the year.
Rob O’Neill, CEO of AHIP, commented, “I am pleased to announce the completion of this acquisition, which diversifies our client base and builds on our platform as the largest and highest quality chain of rail crew lodging properties in the United States.”
AHIP’s diversified portfolio now consists of 79 hotels totaling 6,891 guestrooms, with 44 rail crew hotels totaling 3,561 guestrooms and 35 branded hotels totaling 3,330 guestrooms.
The Fort Scott property will be managed by TR Lodging Enterprises Inc., a wholly owned subsidiary of O’Neill Hotels & Resorts Ltd.