Lowe Enterprises Investors (LEI) has purchased the Royal St. Charles Hotel on behalf of an investment client for $10.1 million. Records from the New Orleans Notarial Archives show the hotel sold Dec. 31 for $10.1 million, including the assumption of an $8.7 million loan from U.S. Bank. The seller was Clearview Hotel Capital, an investment group led by Jon Kline of Newport Beach, Calif.
With its purchase of the Royal St. Charles Hotel, LEI owns 47 hotels and resorts in 17 states and Washington, D.C. Its management affiliate, Destination Hotels & Resorts, the country’s fourth largest hospitality management company, has assumed control of the management and booking of the hotel. Under Destination management, the modern 143-room hotel, located downtown at 135 St. Charles Avenue, will continue to operate as an independent boutique hotel.
Royal St. Charles Hotel was originally the Southern Federal Savings Bank. The property was converted from commercial office space to a modern boutique hotel in 2000.
The most recent renovation of the 10-story building was in October 2012, when $2 million was spent on upgrades. The hotel includes approximately 2,610 square feet of meeting space and a PJ’s Coffee & Café on the ground floor.
Orleans Parish Assessor’s records show the hotel traded in February 2011, when local developer Warren Reuther sold it to Clearview Hotel Capital for $8.3 million.
Today, the building is completely transformed and operates as a hotel with the original bank vault still intact.