TAMPA — Two of Tampa’s newest hotels along with one in North Florida have sold for a total of $110 million.
The deal, which closed this week, included the Aloft and Element in Midtown Tampa and a Hyatt Place in Jacksonville. The sale reflects the high interest in Florida among travelers and hospitality-industry investors.
“Florida is by far the most successful market not only in the country but pretty much in the world,” said Lou Plasencia, whose Tampa firm The Plasencia Group, helped arrange the transaction. “The state of Florida is the darling of every investor because of the beaches and leisure travel.”
Plasencia said hotels in downtown Tampa, the West Shore area and along the Pinellas County beaches are having “their best year in history.” Business travel is returning quickly after the worst of the pandemic “but what is really knocking the doors down is the leisure travel.”
“We think that will continue into the summer and beyond,” he said.
Average room rates are 25 to 30 percent higher than in 2019, which was a record year for the region.
The 110-room Aloft and the 112-room Element are among the anchors of Midtown, a new $500 million-plus development at Cypress Street and Dale Mabry Highway that includes office towers, restaurants and stores. Along with the 160-room Hyatt Place, the transaction represented “some of the highest per-key sales in the market for select service hotels,” Plasencia said.
The buyer is a joint venture of Kohlberg Kravis Roberts & Co. and Riller Capital LLC. The seller was a partnership of Whitman Peterson LLC and Concord Hotels & Resorts Inc.