Ashford Hospitality Trust sold the Hilton Garden Inn Austin Downtown, a 254-room hotel located in the central business district of Downtown Austin. The hotel was acquired by JMI Realty, an Austin-based hospitality investment firm that plans a comprehensive renovation of the property. The transaction was brokered by Hunter Advisors SVP Kami Burnette on behalf of the seller. Other terms and conditions were not disclosed.
“We moved JMI to Austin nearly two decades ago because we believe it’s one of the most robust markets in the country,” JMI Realty CEO John Kratzer said in a statement. “Value creation through hands-on renovation, branding and asset management is core to JMIR’s past successes, and this acquisition reflects that same conviction.”
The 18-story hotel has 254 guestrooms and is situated in Downtown Austin. The surrounding area is a dense, walkable urban environment with access to many of Austin's most recognized attractions and demand generators, including Rainey Street, Sixth Street, Congress Avenue, Lady Bird Lake, the Austin-Bergstrom International Airport and the University of Texas at Austin, which contributes additional academic, athletic and visitor-related travel demand to the broader downtown market. The hotel is also close to the Austin Convention Center, which is currently closed for a major redevelopment and expansion project.
Avion Hospitality will manage the property for JMI Realty. Located in the heart of downtown Austin within steps of the Austin Convention Center, the 254-room hotel is poised to benefit from the continued growth of the city as a premier destination for business, leisure and group travel. The planned renovation coincides with the $1.6 billion Austin Convention Center expansion to double its size and enhance its capacity to host larger events as the area continues to grow and attract an ever increasing number of business and leisure travelers.
"We see tremendous opportunity in this asset at a pivotal moment for downtown Austin," said Robert Burg, CEO and president of Avion Hospitality. "With significant investment planned for the hotel and renewed momentum surrounding the Austin Convention Center, the timing is right to reposition the property for the future. Our focus will be on creating a hotel experience that reflects the energy of the market while delivering strong operational performance and lasting value for ownership."
“The buyer recognized a unique opportunity to acquire and renovate a strategically located hotel ahead of a transformational catalyst for the market,” Burnette said. “As one of the closest hotels to the Convention Center, the refreshed property will be exceptionally positioned to benefit from the significant increase in demand expected over the coming years.”
Property amenities include approximately 9,022 square feet of meeting space, Eighteenth Over Austin restaurant, an outdoor pool and a fitness center.