Terms of the transaction were not released by the New York-based hotel investment provider.
The Queen & Crescent REO property was acquired by the partnership directly from the servicer. The hotel, which features 196 guestrooms and 2,6000 square feet of meeting space, is located in New Orleans’ Central Business District just three blocks from the French Quarter.
Over the next 12 months, Northview plans to execute an extensive renovation of the hotel in order to maximize the value of the property and reopen as a completely repositioned asset next fall. NVHG Management, Northview Hotel Group’s operating arm, will operate the hotel and oversee the completion of the improvement project.
“The purchase of the Queen and Crescent represented a unique opportunity to acquire an underperforming hotel located in the heart of one of the most vibrant lodging markets in the U.S.,” said Simon Hallgarten, a partner at Northview Hotel Group.
This marks the fourth transaction Northview has completed since mid-2012, with two hotel purchases occurring in North Carolina and the other in Hilton Head, S.C. Similar to the Queen & Crescent asset, all the prior acquisitions also included a major renovation component and a strategic repositioning program.
“Northview continues to see attractive value-add investment opportunities in the U.S. lodging market. We plan to expand our portfolio aggressively in the next 12 months,” said Matt Trevenen, partner at Northview.