KHP I acquired the Radisson Hotel located off of Dupont Circle in an off-market transaction. The well located, under-branded and under-performing hotel was acquired well below replacement cost, with an opportunity to realize significant upside through a conversion and repositioning of the asset into a premier, 4-star boutique property. KHP I invested $40 million to modernize the building and add 34 additional keys. Following the repositioning, the Palomar significantly outperformed its competitive set, achieving a RevPAR penetration of 116%. NOI increased nearly 300% during KHP I’s ownership.
|Strategy:||Renovation / Repositioning|
|Acquisition Date:||November 2004|
|Disposition Date:||March 2012|