Ten-X (formerly Auction.com), an online real estate marketplace, announced details of its record-breaking 2015 hospitality sales performance. The company closed 117 hotel transactions in 2015 with sales proceeds exceeding $461 million, nearly double its 2014 hospitality performance of $256.3 million.
While the sales took place in key hotel markets across the U.S., there was a heavy concentration on assets sold east of the Mississippi, including Florida, which saw 18 hotel assets change hands in 2015 for a total transaction volume of $128.2 million. Other heavily active states included Georgia (17 transactions for $34.9 million), North Carolina (10 deals for $25.1 million), Louisiana (six for $42.3 million) and New Jersey (two for $20.2 million).
“Ten-X has a dedicated group of hotel experts with decades of experience and trusted relationships that have introduced numerous clients and brokers to our proven online platform,” said Anthony Falor, managing director of Ten-X’s national hospitality group. “On the heels of a tremendous 2015, we are poised for continued growth in 2016 as we prepare to launch new enabling technologies that empower buyers, sellers and real estate professionals with added control, better insight and even greater reach.”
“When it comes to brokering hospitality sector assets, our firm appreciates the process, transparency and superior closing experienced on this platform,” said Daniel Beider, senior managing director & chairman of Paramount Lodging Advisors, which has closed approximately 80 hospitality deals since the platform’s inception. “We look forward to closing more deals with Ten-X in 2016.”
The company has closed on approximately $1.8 billion in hospitality assets since facilitating the sale of its first hotel in 2009. The growing number of hotels being sold through Ten-X via the company’s online transaction platform – from select-service to large, full-service and boutique properties – demonstrates the effectiveness of the platform and its increasing acceptance among real estate investors, from private investors to institutional buyers. Hospitality highlights in 2015 include:
- The sale of the Alena Hotel Portfolio: Four, full-service hotels in Florida, Northern New Jersey and Central Illinois.
- The sale of four select service assets and extended stay assets in Southwestern and Western Florida for The Liberty Group.
- The disposition of three full-service hotels in Cheyenne, Wyo., Billings, Mont., and Fresno, Calif., for The Procaccianti Group.
“As first-time users of this asset disposition platform, it’s fair to say that we entered this process with a slight hint of skepticism”, said William Walker, vice president, asset management for The Procaccianti Group. “In the end, the sale was very efficient and we had a successful result that exceeded our initial expectations.”
Ten-X expects to continue seeing larger hotels of both full- and- select- service variety become available on its platform in 2016. Resorts on both coasts and assets in Top 40 metro areas will be prominent this year, as well.