Boston & New England + Metro Boston + Hospitality | March 27, 2023

Service Properties Trust Divests 16 Hotels for $137M

Newton, MA-based Service Properties Trust has sold a 16-property, 2,155-key hotel portfolio located across nine states. A joint venture of Dallas-based NewcrestImage and Phoenix-based Hospitality Capital Partners paid approximately $137.3 million.

Al Calhoun and Mark Fair of CBRE Hotels’ Capital Markets Institutional Group represented the seller. “Closing this transaction was particularly satisfying given the size of the deal and the challenges we’re facing in the debt markets,” said Calhoun, vice chairman with CBRE Hotels in Atlanta. “We were able to complete this transaction by breaking it up into three deals with three different lenders.”

The portfolio includes 13 Courtyard by Marriott hotels and three Residence Inn by Marriott hotels. These properties are located in Georgia, Massachusetts, New York, North Carolina, Oklahoma, Pennsylvania, South Carolina, Texas and Virginia. Eleven of the properties also underwent major renovations between 2018 and 2019.

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CBRE's Calhoun

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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