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Ashford Acquires Santa Cruz Hilton-Flagged Property for $50M
Ashford Hospitality Trust, Inc. acquired the 178-room Hilton Santa Cruz/Scotts Valley in Santa Cruz, CA from Philadelphia-based The Arden Group for $50 million. The property is the only full-service, Hilton-branded asset in the Santa Cruz market, and is well-positioned in a high barrier-to-entry lodging market.
The property opened in 1999 and includes 21 suites, as well as a broad range of amenities, including the full-service Stonehouse Bar & Grill, 7,900 square feet of flexible meeting space, an outdoor pool, and fitness center. The property underwent more than $7 million in capital improvements between 2016 and 2017, and will be managed by Remington Lodging.
To fund the acquisition, the Dallas-based hospitality REIT used cash on its balance sheet and issued as consideration to the seller roughly 1.5 million Operating Partnership Units valued at $7.00-per-unit. Ashford also assumed a non-recourse mortgage loan at closing, with a current balance of roughly $25.3 million.
For comments, questions or concerns, please contact Dennis Kaiser
- ◦Sale/Acquisition


