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Memphis’s Largest Hotel on the Block
The 590-room Sheraton Memphis Downtown Hotel is up for sale. The price for the town’s largest hotel was not disclosed. The two brokers handling the deal are Tim Osborne and Spencer Davidson, both with Hunter Hotel Advisors.
Starwood Capital Group and Schulte Hospitality Group — acquired the property in 2017. The Sheraton employs about 200 people.
The Memphis Business Journal reports that Hotel Memphis secured $43 million in debt from Bank of America in 2017.
In October 2022, Starwood received a 30-year PILOT (payment-in-lieu-of-taxes) from the Center City Revenue Finance Corp. (CCRFC), an affiliate board of the Downtown Memphis Commission (DMC). That incentive covered a proposal to expand the Sheraton by 300 rooms. An extensive renovation was also proposed. The total development budget for the expansion and renovation was set at $226 million. The CCRFC also approved a 5% Tourism Development Zone (TDZ) surcharge to assist with the project at that time. The owners never performed on the program, and the PILOT and renovation plans were scrapped.
- ◦Sale/Acquisition
