By Meghan Hall
Hotel sales, particularly in Silicon Valley, are beginning to pick up as the industry anticipates a return to leisure and business travel. In a deal that closed just before Memorial Day Weekend, New Orleans-based HRI Properties, closed on a $54 million deal for Aloft Santa Clara, located in San Jose. The seller of the property was CalTex Hospitality Inc.
The 175-key hotel sold for about $309,000 per room according to The Mercury News, who was the first to report on the deal. Barings, an investment management and financial services firm, provided a loan of $41.5 million to finance the acquisition. The loan covers the majority of the purchase price and a significant deal for the hotel industry.
The property is located at 510 America Center Court and was designed with tech-oriented and global travelers in mind.
“Part of the America Center complex, Aloft Santa Clara is a hip, lively hotel for the next-generation traveler. Breeze into one of our stylish, tech-forward rooms, enhanced by over-sized spa showers, ultra-comfortable beds and innovative amenities,” the property’s website states. “Find your inspiration with our great location near Levi’s Stadium, California’s Great America theme park, San Francisco Bay Trail and Fortune 500 companies in Silicon Valley.”
The hotel is managed by Marriott and features three meeting rooms totaling 1,980 square feet, on-site laundry, fitness center and swimming pool. Other nearby attractions include California’s Great America Amusement Park, Levi’s Stadium, the Computer History Museum and Santa Clara Convention Center.
As a firm, HRI Properties specializes in the ownership, development and management of upscale-branded and independent hotels, as well as luxury apartments and mixed-use properties, in urban centers. HRI Properties owns 26 different hotels across the United States, including in metros like New Orleans, San Francisco, Dallas and Philadelphia.
“Since 1982, we’ve been at the forefront of the urban development and revitalization movement,” the firm states on its website. “We know that change does not happen on its own. It takes a spark of inspiration, a flash of brilliance to make the leap from what is, to what could be – from what is ordinary, to what is extraordinary.”