Annapolis-based Chesapeake Lodging Trust (NYSE: CHSP) has finalized its acquisition of the 613-room Denver Marriott City Center from Walton TCC Hotel Investors V LLC. The Denver Marriott City Center is located in downtown Denver, Colorado. The final purchase price is approximately $194,000 per key at a grand total of $119 million.
The Denver Marriott City Center is part of a 43-floor mixed-use development with the 20-story hotel component renovated in 2009. Chesapeake is expected to add 4,500 more square feet of meeting space to the existing 28,000 square feet. The hotel purchase is part of Chesapeake Lodging Trust’s mission to focus on investing in upscale hotels in major business and convention districts within the United States.
The acquisition was funded with available cash on hand and by borrowing from Chesapeake Lodging’s revolving credit. The hotel will continue to operate under the existing agreement with Bethesda-based Marriott International (NYSE: MAR).