NATIONAL REPORT—Properties are changing hands across the country, including MGM closing its deal on the Circus Circus on the Las Vegas Strip. Here’s a look:
MGM Closes on Circus Circus Sale
MGM Resorts International has closed on its sale of Circus Circus Las Vegas and the 37 adjacent acres for $825 million, subject to final purchase price adjustments, to an affiliate of Treasure Island owner Phil Ruffin. The sale is part of the company’s commitment to its asset-light strategy designed to focus on MGM Resorts’ core business and maximize value for its shareholders.
The purchase price comprises $662.5 million in cash and a $162.5 million note due 2024. MGM Resorts plans to utilize the proceeds from this transaction to further its capital allocation strategy and enhance its strategic and operational flexibility.
Hunter Hotel Advisors Completes Sale of Five Assets
Hunter Hotel Advisors has facilitated the sale of five properties owned by an institutional investor, to separate buyers.
Homewood Suites by Hilton Huntsville Downtown, Alabama will be managed by Yedla Management Company for the new local owners. The hotel includes 101 rooms and was built in 2014. It is adjacent to the Huntsville Hospital.
The Hilton Garden Inn Cleveland Downtown, Ohio and the Hilton Garden Inn Beaufort, SC were purchased by a Northeast-based owner-operator. The Hilton Garden Inn Cleveland Downtown was built in 2002 and has 240 rooms. The hotel is one block from Progressive Field, home of the Cleveland Indians, and Rocket Mortgage Field House, home of the Cleveland Cavaliers. Hilton Garden Inn Beaufort is located near the historic Beaufort downtown district and includes 115 recently renovated rooms.
Hilton Garden Inn Chesterton, IN, was purchased by First Investment Real Estate Corporate, based in Chicago. The hotel is located at the southern tip of Lake Michigan on the Interstate corridor servicing Chicago and includes 120 recently renovated rooms.
Lodging Hospitality Management of St. Louis purchased the 163-suite Embassy Suites by Hilton St Louis Airport. They will be renovating the rooms and common area.
Marcus & Millichap Arranges Sale of Florida Red Lion Hotel
Marcus & Millichap arranged the sale of Red Lion Hotel Orlando-Kissimmee Maingate, a 516-room hospitality property located in Kissimmee, FL. The asset sold for $17.7 million.
Built in 1974, The Red Lion Hotel sits on a large lot located in a prime location near the main entrance to Walt Disney World. The property was sold on a per key basis. The hotel is a two-story exterior corridor design, situated on a site with three pools, a spa, two fitness centers, conference space, children’s playground and volleyball court and more. Additionally, the property recently opened a new Pizza Hut Express and retail space.