PHOENIX Strategic Hotel Capital is looking to sell the Hyatt Regency Phoenix for as much as $100 million. The price tag on the 712-room convention hotel, which the firm bought for about $85 million three years ago, is surprising given the softness of the downtown Phoenix market, said Bill Murney, a hotel broker with CB Richard Ellis. Rates and occupancy have been flat, he said.
Downtown hotel occupancy increased less than two points last year, to about 55%, and the average daily room rate was up 4.5%, to $116, according to estimates by Richard Warnick, a Scottsdale-based hotel industry consultant. Strategic Hotel Capital spent $8 million on the hotel to renovate its guestrooms in 1999. The company has put 10 hotels up for sale in a reallocation of its capital. (2/9/01)
SOURCE:The Arizona Republic