ROCHESTER HOTEL PORTFOLIO
The Chetek Group of Marcus & Millichap, as exclusive advisor, is pleased to present the exceptional opportunity to acquire a 100% fee-simple interest in two of the top performing full-service hotels in Rochester, New York. Totaling 498-contemporary rooms boasting the highest ADR’s in the market, the hotels offer 399,051 square-feet of luxury space, and best-in-class amenities including – highly sought after event spaces producing large revenues, extremely successful restaurants with proven track records and a national presence, the swankiest bars and rooftop decks in Rochester, and a full-service resort style spa leased to Ape + Canary.
THE PROPERTIES ARE COMPRISED OF:
1. The iconic Hyatt Regency Rochester (“The Hyatt”) is a 25-story upper upscale Hotel which received an $18,000,000 in renovations in 2017, leaving no stone unturned. The hotel features 247,105 square-feet of premium accommodations and event space – the largest event space in Rochester outside of the convention center. The Hyatt also features a brand-new Morton’s Steakhouse and Starbucks Café, both exceeding forecasts.
2. The Strathallan Rochester Hotel, a DoubleTree by Hilton (“The Strathallan”) is a 155 room, 151,946 square-foot, 9-story best-in class hotel with the highest ADR and RevPAR in Rochester. The Strathallan is the chicest and most desirable wedding venue in all of Rochester with advanced bookings through 2020. The Strathallan also features Char Steak and Lounge, one of the highest grossing restaurants in upstate New York. The Property has the unique ability to be converted to a Tapestry Collection by Hilton, creating substantial upside for investors, which will further solidify the Strathallan as the top performing hotel in all of Rochester.
The highly coveted hotels are notable landmarks in Rochester with incredible appeal to investors seeking reliable cash flow and considerable upside, such as – operational synergies between the hotels, expense optimization, organic growth, and rebranding The Strathallan hotel from a DoubleTree to a Tapestry Collection by Hilton, a vibrant Hilton flag that promotes hotel exclusivity.
The Property offers three tenants with established dental practices. Tenants include; Inverness Family and Cosmetic Dentistry, Birmingham Endodontics, and Great Smiles Orthodontics.
The three practices specialize in a different sector of the dental industry, resulting in cross synergies between them. The tenants consistently refer business to one another.
The Class “A” medical Building was constructed in 2001 and all three tenants are original tenants.
All three tenants will sign new 12-year NNN leases with 1.5% annual rent increases at closing.
The Property is located in Hoover, Alabama which is an affluent submarket of Birmingham.
Within 3-miles of The Property average household incomes exceed $100,000 and the population has grown by 13% since 2010 and expected to further grow in the upcoming years. Millennials are moving to Hoover.
The Property is located 2-miles from Grandview Medical Center, a 372-bed hospital that provides comprehensive healthcare services to patients in Birmingham and surrounding communities.