Holliday Fenoglio Fowler (HFF) has completed the $111m divestment of Liaison Washington Capitol Hill, a 343-room hotel in the Capitol Hill submarket of Washington, D.C.
It has also closed acquisition financing for the hotel.
The property was marketed on behalf of the seller, Pebblebrook Hotel Trust.
A partnership between Metrovest Equities and BLDG Management acquired the hotel “unencumbered” of existing brand and management.
Furthermore, on behalf of the partnership, HFF placed a 75% loan-to-cost floating-rate bridge loan with a major life insurance company.
Close to the United States Capitol building, the hotel is located at 415 New Jersey Avenue. It is also within walking distance of Union Station, the National Mall, Georgetown University Law Center and the Walter E. Convention Center and almost 150 million square feet of office space and 100 embassies.
The acquirer intends to convert the existing Liaison Washington Capitol Hill hotel into the Yotelpad Capitol Hill.
Yotel is a lifestyle-oriented hospitality concept. This property will be YOTEL’s first extended stay project in Washington, D.C.
The HFF investment advisory team was led by HFF’s hotel group senior managing director and head Daniel C Peek and senior director Cyrus Vazifdar.
Peek said: “It was a true privilege to represent the Pebblebrook team on this transaction. They are best in class and a group we have long admired in the industry.”
The HFF debt placement team representing the borrower comprised managing director Scott Aiese and senior director Chris Hew.
Aiese said: “We’re excited to see YOTEL enter Washington D.C. and believe the flag will achieve significant market share with its target clientele in this unparalleled location, just steps from the United States Capital.”