Ashford Hospitality has signed a definitive agreement to acquire the four-star hotel Sofitel Chicago Water Tower in the US for $153m.
Situated on the Gold Coast submarket of Chicago, Illinois, the four-star hotel features 415 rooms, over 10,000ft² of meeting space and will be managed by Sofitel.
Sofitel Chicago Water Tower’s 415 rooms include 32 suites and one presidential suite, all of which feature Sofitel’s luxurious feathertop and duvet sleep system SoBed, while its 10,000ft² of meeting space includes a 4,592ft² ballroom, eight meeting rooms and a private dining room with an open kitchen.
Ashford Prime chairman and CEO Monty Bennett said: "We are very excited to acquire the Sofitel Chicago Water Tower as this high RevPAR asset is representative of how we envision building out Ashford Prime’s portfolio.
"This property will increase Prime’s overall average RevPAR and further diversify our portfolio by market, brand and manager.
"Also, its prime location in a major US gateway market fits perfectly with the investment strategy that Ashford Prime was specifically designed to capitalise on."
The hotel houses Café des Architectes offering contemporary cuisine created with local ingredients, and also features outdoor terrace dining.
The property, which offers upscale accommodation, is located close to shopping on the Magnificent Mile, an array of downtown Chicago galleries, museums, fashionable boutiques and the many restaurants of Rush Street.
Designed by French architect Jean-Paul Viguier with a unique knifelike edge on the southern end, which extends 33ft over the sidewalk, the hotel is a 32-floor prism offering views of Lake Michigan and the Chicago skyline.
Ashford intends to finance the property with approximately $80m of non-recourse mortgage debt and expects to close the acquisition in the next 30 days.
Image: Sofitel Chicago Water Tower. Photo: courtesy of Ashford Hospitality Prime, Inc.