Procaccianti Hotel REIT acquired the Hotel Indigo in Traverse City, Mich., on Aug. 15. The hotel is managed by TPG Hotels & Resorts.
The 107-room, boutique style, select-service hotel opened in May 2016 and overlooks Lake Michigan’s West Grand Traverse Bay. Located in the downtown Warehouse District, the hotel offers underground valet parking, approximately 3,000 square feet of meeting space, a fitness center, a business center, a restaurant and a rooftop bar overlooking West Grand Traverse Bay.
“We believe that the Hotel Indigo Traverse City is an exceptional, new vintage property with multiple built-in demand drivers—its rooftop bar, extraordinary design features, and other amenities make this premium-branded, select-service hotel a strong addition to our portfolio,” Gregory Vickowski, CFO of Procaccianti Hotel REIT, said in a statement.
The hotel is expected to continue to benefit from the area’s leisure and corporate demand stemming from the major attractions and employers in immediate proximity. With a range of restaurants and wineries, Traverse City is becoming a destination for food and wine enthusiasts. The area’s historic buildings have been renovated and now house modern shops, art galleries, restaurants and craft breweries. Traverse City is also home to several major events, including the National Cherry Festival and Traverse City Film Festival, founded by film director Michael Moore.
Procaccianti Hotel REIT is a public, non-traded corporation headquartered in Cranston, R.I., that intends to elect to be taxed as a real estate investment trust for federal income tax purposes. Procaccianti Hotel REIT targets is developing a portfolio of hospitality properties consisting primarily of existing extended-stay, select-service and compact full-service hotel properties that are classified in the “upper midscale,” “upscale” and “upper upscale” chain scales.