ARA US Hospitality Trust, Sigapore Exchange listed company, invests in income-producing real estate assets used primarily for hospitality purposes located in the United States, has entered into a conditional purchase and sales agreement to acquire a portfolio of three Marriott-branded upscale select-service hotels in the United States for US$84.5 million.
The three freehold properties are located within the markets of Raleigh, North Carolina and San Antonio, Texas, that benefit from diversified demand from nearby corporations, universities and leisure attractions.
The Marriott-branded hotels consist of AC by Marriott Raleigh North Hills, Courtyard San Antonio at The Rim and Residence Inn San Antonio at The Rim.
“This acquisition demonstrates our ability to execute third-party transactions at an attractive yield in the world’s largest lodging market. We will continue to explore acquisition opportunities to further diversify our portfolio by location and by brand, and most importantly to enhance stapled securityholders’ returns,” said Lee Jin Yong, the Chief Executive Officer of the Managers.
AC by Marriott Raleigh North Hills is the newest hotel within the heart of Raleigh’s North Hills – one of Raleigh/Durham’s premier live-work-play destinations. North Hills is a mixed-use development that contains more than 1 million square feet of office space, with notable tenants such as PwC, KPMG and Bank of America, plus retail, entertainment, and residences.
Courtyard San Antonio at The Rim and Residence Inn San Antonio at The Rim are located adjacent to each other in one of the most desirable submarkets in San Antonio.