National + Hospitality | February 16, 2023

Credit Suisse Asset Management and Trinity Real Estate Investments, LLC have acquired The Diplomat Beach Resort in Hollywood from a Brookfield private real estate fund.

Hotel Sales Get 2023 Off to a Strong Start with Pricing Records

Following a slowdown in sales in the second half of 2022 due to dislocation in the debt markets, hotel investors have kicked off 2023 with record sales for quality assets in highly desirable and growing markets, JLL reported.

A recent example of these transactions includes the sale of the Diplomat Beach Resort in Hollywood, FL, the third-largest single-asset sale in U.S. history. In addition, the recent closing of the AC Hotel Phoenix Biltmore set a record price-per-key for upscale select-service assets in Phoenix. Both markets are highly desirable for investors, with substantial population and demographic growth along with strong market fundamentals for hospitality and tourism.

“Miami and Phoenix are two great examples of growing markets where year-end 2022 RevPAR has far exceeded 2019 performance by 24% and 19%, respectively,” said Melvin Chu, EVP, JLL Hotels & Hospitality Group. “Other top 25 markets where we are seeing similar performance and transaction trends include Tampa, San Diego, Orlando and Orange County.”

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Inside The Story

JLL's Chu

About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 13-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 15-20 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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