The CIM Group recently sold the Holiday Inn at the Los Angeles International Airport to China-based US OCG, a subsidiary of the Esong Group. The $52.5-million acquisition is the company’s first hotel purchase in the U.S. market.
The purchase comes at an apt time as the airport is in the middle of an $8-billion Master Plan renovation. A representative from Infinity Realty Advisors, who handled the transaction, said that the property would “benefit from the LAX multi-billion development program.” An advisor to the buyer also noted that the hotel is an underutilized asset which provides opportunity in a dense market.
The 405-room hotel has reportedly been operating at occupancy rates around the 90 percent mark. Interstate Hotels & Resorts has been tapped to manage the property.