Hyatt Regency Scottsdale Resort & Spa at Gainey Ranch part of $305 million sale
December 15, 2017
By Nearby News Staff
Hyatt Regency Scottsdale Resort & Spa at Gainey Ranch has been sold. Orlando, Florida-based Xenia Hotels & Resorts purchased the property along with Royal Palms Resort & Spa in Phoenix from Hyatt Hotels Corporation for a combined price of $305 million.
The sale was completed this fall and represents the largest purchase Xenia Hotels & Resorts made this year. The company also acquired Hyatt Regency Grand Cypress in Orlando for $205.5 million and the Ritz Carlton-Pentagon City in Arlington, Virginia for $105 million. In its 2017 investor presentation, Xenia identified Phoenix as its third largest market, behind first-place Houston and Orlando.
“The acquisition of Hyatt Regency Scottsdale and Royal Palms demonstrates our continued effort to invest in high-quality, uniquely positioned premium full-service and lifestyle hotels in top lodging markets,” said Marcel Verbaas, president and CEO of Xenia. “We are thrilled to have been able to add two terrific hotels in one of our target markets that benefits from many diverse demand generators.”
Royal Palms Resort & Spa is part of The Unbound Collection by Hyatt. Hyatt will continue to manage both properties for Xenia, but Verbaas indicated the properties would undergo a few changes. “While the hotels are in good physical condition and have strong in-place cash flows, we believe we will be able to drive further growth as we work with Hyatt to continue to optimize operations, reap the benefits of the recent branding of Royal Palms and make targeted capital improvements to further upgrade both properties.”
Steve Haggerty, global head of capital strategy and franchising for Hyatt, said the company was “proud to further grow our portfolio with Xenia,” and added, “We look forward to continue delivering the exceptional service and experiences for which these two iconic resorts are known.”
Hyatt Regency Scottsdale Resort & Spa at Gainey Ranch has 493 rooms, 70,000 square feet of meeting space, a 2.5-acre resort pool, eight restaurants, four tennis courts, a spa (Spa Avania) and access to a 27-hole golf course. The resort is located at 7500 E. Doubletree Ranch Road. For more information, call 480-444-1234 or visit scottsdale.regency.hyatt.com/en/hotel/home.html.