AUSTIN, TX—Summit Hotel Properties, Inc., based here, has closed on the joint venture transaction for the acquisition of a 252-room Holiday Inn Express located on Fisherman’s Wharf in San Francisco.
The company acquired the hotel from an unaffiliated seller for a purchase price of $60.5 million through a JV with an affiliate of InterContinental Hotels Group (IHG).
The JV gives the company an approximate 80% ownership interest in the hotel, which will be operated under a long-term IHG management agreement.
The company expects the JV to spend an aggregate of roughly $3 million for improvements at the hotel within the next 12 months.
The hotel joins the 10 IHG-branded properties in the company’s portfolio, including the Holiday Inn Atlanta-Gwinnett Place and the StayBridge Suites Denver that were previously acquired under the current sourcing agreement.