Hospitality Focused Private Equity Firm Acquires Hampton Inn - Downtown Cleveland
Spark GHC, a private real estate joint venture focused on hospitality assets in the U.S. Midwest, has acquired the Hampton Inn by Hilton – Downtown Cleveland. The acquisition provides a strong footprint for the joint venture in the Downtown market and adds Hilton to their existing portfolio alongside Marriott and IHG brands. This is the 11th acquisition for the sponsors since 2018 and increases combined Spark GHC assets under management to above $100 million.
The Hampton Inn by Hilton – Downtown Cleveland is a generational asset located in the heart of Downtown Cleveland near major attractions, corporate offices and is focused on sports, leisure, and business travelers. The hotel is a healthy cash generating asset that is being acquired at a prudent equity value. Spark GHC plans to significantly upgrade this asset with a multi-million capital improvement plan, positioning it to become the best select service asset in the market.
Spark GHC is a joint venture between Spark Hotels, a proven developer, acquirer, and operator of Ohio-based hospitality assets, and Green Harvest Capital, a marquee asset manager of Northeast Ohio-based multi-family assets.
Spark Hotels President, Amit Patel said, "We are excited to close on the Hampton Inn by Hilton – Downtown Cleveland just a few months after launching our joint venture. It is a testament to our relationships in the hospitality industry, capability to be nimble and strategic in a fast-shifting debt/equity landscape, and our ability to execute complex buy-sell transactions."
Spark Hotels COO, Bhavesh Lad said, "We are ready to make this hotel the premier select service asset in Downtown Cleveland. We have already started coordinating with Hilton and 3rd party contractors to tour the facilities and finalize bids for our multi-million capital improvement plan."
GHC Principal, Bhavin "B" Patel said, "This is the 1st of many hospitality acquisitions for this joint venture. We are seeing significant opportunities to acquire value add assets in today's volatile market. We have three more assets under contract and another three in the pipeline."
GHC Principal, Michael J. Smith said, "We are thrilled to work with our partners at Concord Hospitality which will be leading property management at the site. They have the right team at the asset, and we are looking forward to rolling up our sleeves with them."