The Hampton Inn & Suites in downtown Milwaukee has been sold to a Virginia-based investor for $10.66 million, according to state records.
Wisconsin Ave Partners LLC, an affiliate of Norfolk, Virginia-based Crossways Capital LLC, acquired the 138-room hotel at 174-184 W. Wisconsin Ave. from an affiliate of Atlanta-based Peachtree Hotel Group.
According to city records, the hotel has an assessed value of $10.27 million and was built in 1917.
Tejal Desai, managing principal of Crossways, is listed as the buyer’s agent in the transaction. Desai did not immediately respond to a request for comment.
The Hampton Inn is also under new management. A business license application filed with the city earlier this month lists an email address associated with Louisville, Kentucky-based Schulte Hospitality Group as a contact.
A representative of Schulte confirmed the group just recently took over management of the hotel, but declined further comment.
According to the firm’s website, Schulte also manages the Graduate hotel in Madison and a Holiday Inn & Suites hotel in Green Bay.
Peachtree acquired the hotel in April from its previous owner, Shelton, Connecticut-based New Castle Hotels & Resorts. New Castle turned over the hotel property to Peachtree in order to avoid foreclosure.
A New Castle spokeswoman said in April that Peachtree loaned the firm $17.3 million in January 2016 for the acquisition of the hotel. New Castle had to give up the hotel due to “unanticipated new supply in the market,” the spokeswoman said.
News of the sale of the Hampton Inn comes about a week after news the downtown Aloft Hotel was sold for $26.5 million. The 160-room hotel, located at 1220-1240 N. Old World Third St., was acquired by Maryland Heights, Missouri-based Midas Hospitality LLC.
A number of new hotels have either recently opened or will soon open elsewhere in downtown Milwaukee. The new 227-room Drury Plaza Hotel at 700 N. Water St. opened in early October, and the new 132-room Cambria Hotel at 503 N. Plankinton Ave. opened in August.
Work is also underway on a two-building, three-hotel development along North Jefferson Street between East Michigan and East Clybourn streets. The developers of those hotels expect them to open sometime in the later half of 2020. Altogether, the hotels will add another 331 rooms to the downtown hotel market.
