AWH Partners announced today it has acquired a 212-key, dual-branded Residence Inn®/Fairfield® Inn & Suites hotel property in Broomfield, Colo. The acquisition represents an evolution of the real estate investment firm’s process, using its industry-leading proprietary digital intelligence platform developed to pinpoint under-valued assets in the hospitality industry that are prime for revenue growth.
The hotel will now be managed by Spire Hospitality, a premier, Dallas-based hospitality management firm that is a subsidiary of AWH Partners. Located between Denver and Boulder, Broomfield is one of Colorado’s fastest-growing communities, largely a result of growth from the aerospace, energy, life sciences and technology industries.
“This acquisition is AWH Partner’s most recent investment resulting from our proprietary, best-in-class technology and data platform that will be central to the strategic expansion of our portfolio,” said Chad Cooley, Managing Partner. “The platform analyzes third-party and proprietary data to determine transactions that have optimal risk-reward balance for investing and is the linchpin of our strategy to lead a new era in hospitality real estate investment.”
The acquisition price of $137,000 per key is a substantial discount to replacement cost for a high-quality asset under two of Marriott’s® strongest brands. The investment offers robust, risk-adjusted returns with a 9.5% going-in cap rate for a recently built, well-branded asset in a growth market. The property’s strong and steady historical cash flows and competitively priced long-term fixed rate financing auger exceptional returns, according to the firm’s analysis.
Over the past 20 years, the aerospace industry has grown by 88% in the greater Denver–Boulder area, according to a CNBC analysis. CBRE ranks Denver–Boulder as a leading U.S. life sciences real estate market, driven by unprecedented public and private investment. Located near the Interlocken Business Park, the dual-destination property offers extended-stay suites with kitchens, guest rooms, hotel bar, buffet and to-go dining, and complete conference and corporate event facilities. The hotel is within walking distance of Broomfield’s mixed-use Flatiron Crossing complex as well as the Interlocken Golf Club. The main campus of the University of Colorado Boulder is 15 minutes away by car.
About AWH Partners
Since its founding in 2010, privately held AWH Partners has invested more than $2 billion in hospitality real estate, partnering with leading institutional capital providers and investors to strategically source, develop and manage high-performing assets. The vertically integrated investment firm includes Spire Hospitality, which provides hotel management services, and AWH Development, a full-service real estate development company. Its principals, Russ Flicker, Jon Rosenfeld and Chad Cooley, are veterans of the real estate and financial industries, including executive experience with Blackstone and The Related Companies. Headquartered in New York, the firm has some 200 employees in the U.S.
