Caliber Hospitality, a division of Caliber – The Wealth Development Company, announced the successful acquisition of the 7-story, 232-guest room, Hilton Tucson East in Tucson for $9.3M. Purchased with private investor equity, in partnership with the Caliber Distressed Real Estate Income Fund (CDIF, LLC), Caliber plans an $8M property renovation.
The Hilton Tucson East purchase expands Caliber’s lodging investment portfolio to six hotel properties, in both Arizona and Alaska, and includes such prestigious brands as Crowne Plaza, Hampton Inn & Suites, and Holiday Inn & Suites.
Chris Loeffler, CEO and Co-Founder of Caliber – The Wealth Development Company said, “The Hilton Tucson East is the proverbial “diamond in the rough” that with the proper renovation plan and managerial expertise will be transformed into one of the finest hotels in Caliber’s portfolio.”
He added, “The property will provide significant investor value creation as it was purchased approximately 70% below estimated replacement cost. Due to its solid market fundamentals, we’ve wanted to expand within Tucson beyond our current single-family and multi-family residential portfolio. This hotel is an excellent opportunity to do just that.”
The hotel is situated on 6.36 acres between Downtown Tucson and Saguaro National Park and is along one of Tucson’s main east-west thoroughfares, Broadway Boulevard.