Hyatt Atlanta Midtown

Courtyard by Marriott Charleston, SC Historic District

Courtyard by Marriott Downtown Decatur at Emory University / CDC

Memphis Marriott East

Hyatt Place & Hyatt House portfolio

Boston, Princeton, Paramus, Miami, Atlanta, Dallas/Ft. Worth & Minneapolis

Courtyard by Marriott Charleston, SC Historic District

Investment Summary

Investment Date: May 2010
Opened: March 2011
Total Rooms: 176 Rooms

Meeting Space: 5,000 square feet

Investment Premise

Value Added Repositioning and Re-Branding

Existing Holiday Inn asset was acquired unencumbered by franchise and management affiliation. Noble negotiated an agreement to convert the hotel to the Courtyard by Marriott brand after a substantial renovation. In addition, Noble acquired an adjacent property, demolished a small building and expanded the existing hotel by 50 rooms and 2,500 square feet of meeting space by connecting the two physical spaces.

Strong Demand Market

At the time of investment, the Charleston Historic District had a greater than 50% RevPAR premium over the top 25 market average with this asset and its competitive set experiencing a more than a 60% premium. Average daily rate had increased in 28 of the previous 29 years.

High Barriers to Entry Location & Market

The assets location within the Historic District of Downtown Charleston has a very high physical and structural barriers to new development, and saw no actual new supply in the 10 years leading up to our investment. In 1998, the city passed a moratorium ordinance which limited new hotels south of Calhoun Street (subject location) to 50 guestrooms. The seller spent nearly 10 years getting entitlements to the development site, which had lapsed, and Noble spent one year re-entitling.