ORLANDO—Online auctions are nothing new in the commercial real estate world. But some deals really display how effective the model can be.

HREC Investment Advisors' recent disposition of five full-service hotels on the Auction.com platform is one of those deals. The seller was Orlando-based Alena Hospitality.

All five hotels attracted multiple bidders to the online event, with 65 registered bidders making over 250 bids. The hotel sales generated nearly $87 million.

“Selling all five of these very diverse properties in three states using a democratic, transparent, competitive process is a testament to the power of our online platform, and a great example of how commercial real estate transactions continue to move online,” says Anthony Falor, managing director of Auction.com's Hospitality Division. The 148-room hotel located at 50 Kenny Place in Saddle Brook, NJ near drew 15 qualified, registered bidders, who placed 69 bids with a winning bid of $10.45 million.

“The outstanding results of the individual auctions are the result of the two firms' ability to leverage off each other's strengths to drive both pricing and execution, and we look forward to working with Auction.com on other engagements,” says Paul Sexton, head of HREC's Orlando office and project lead. Three qualified, registered bidders, for example, vied for the 272-room hotel at 500 Hamilton Boulevard in Downtown Peoria, IL. The winning bid of $5.8 million was the 35th bid placed during a very active auction.

The DoubleTree by Hilton Orlando East, a 246-room hotel near the University of Central Florida at 12125 High Tech Avenue in Orlando, had 15 qualified, registered bidders, who placed 48 bids with a winning bid of $30.05 million. The 290-room hotel located at 400 West Livingston Street in the heart of Downtown Orlando, Florida attracted 13 qualified, registered bidders, who placed 64 bids. The winning bid was $12.625 million.

Finally, there were 20 qualified, registered bidders who placed 36 bids for the 246-room full-service hotel located near the entrance to Lake Buena Vista Resort Village and Downtown Disney at 12490 Apopka Vineland Road in Orlando. The winning bid was $27.85 million.

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