Photo via Laurus Corporation
Chicago real estate firm Arbor Lodging Partners purchased the Holiday Inn Express & Suites New Orleans Airport South for $15.8 million. This is firm’s first investment in the New Orleans area.
The 130-key suburban hotel located near the James Business Park was owned by Los Angeles-based Laurus Corp., which bought the property in 2012.
The property was a Ramada Inn when Laurus purchased the property in 2012. According to a press release, Laurus rebranded it, spent $2.7 million renovating it, and hired Expotel Hospitality Service of Metairie as the management firm.
According to Laurus, the sale represented a 33.5% IRR and 2.3 times equity multiple in less than three years.
Hess said net operating income for the hotel is currently five times higher than when it was first purchased in 2012.