X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

ORLANDO-HEI Hospitality of Norwalk, CT has added the 20-year-old, 322-room Hilton Orlando/Altamonte Springs to its ownership/investment portfolio, buying the eight-story suburban Orlando asset from Duluth, GA-based Southern States Management Co. for $22 million or $68,323 per room.

Prudential Real Estate Investors of Newark, NJ is HEI’s joint venture partner in the deal. Representatives of buyer and seller couldn’t be reached at GlobeSt.com’s publication deadline to learn the hotel’s occupancy and average daily room rate.

But Florida hospitality industry estimators tell GlobeSt.com on condition of anonymity the business traveler-oriented hotel at 350 S. North Lake Blvd., Altamonte Springs, FL is at the 75%-occupancy level.

Orlando construction industry estimators tell GlobeSt.com the hotel’s purchase price is below replacement cost, estimated today at a minimum $100,000 per room.

“Although the overall Orlando market has suffered from the after-effects of the (9-11-01) terrorist attacks, we believe this hotel has great growth potential, especially after we complete the upgrade program,” HEI principal Gary Mendell says in a prepared statement.

Mendell says the hotel previously “earned some of the highest guest satisfaction scores in the Hilton system and we intend to build on that goodwill.” He says the property physically is “in overall good shape.”

Smilezzz Hospitality, an HEI subsidiary, will manage the property. James Sega, the former general manager of Sheraton Fisherman’s Wharf in San Francisco, has been recruited as the Orlando Hilton’s GM.

Norman Justice, a former regional controller for MeriStar Hotels & Resorts, is Orlando Hilton’s new controller.

The hotel has 16,000 sf of meeting space; a 100-seat Grill at Lofton’s restaurant; a lobby lounge; and is a quarter of a mile from the 1.2 million-sf Altamonte Mall on Semoran Boulevard (State Road 436).

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

Dig Deeper

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.