DiamondRock Hospitality acquired the 184-suite Sheraton Suites Key West for $94 million, or $511,000 per suite.
The hotel's previous owner was New Hampshire-based Oprock Key West Fee. DiamondRock plans to re-launch the hotel as an "independent lifestyle resort," which includes $5 million in renovations to the lobby, pool and guestrooms.
"We are very excited about our acquisition of this all-suites hotel," DiamondRock Hospitality Company President Mark Brugger said in a prepared statement. "The hotel is in excellent condition and features direct access to Smathers Beach, the largest and most popular beach in Key West."
According to data from STR, Key West's hotel occupancy rate as of July 11 was 84.3 percent.