Canadian Investor Buys Two Hotels in Palm Beach County for More Than $48M

Brasswater paid more than $48 million to buy two Hampton Inns hotels in Palm Beach County, Fla., from Hospitality Investors Trust, property records show. 

In the biggest transaction, the Montrael-based firm paid at least $29 million for the 164-room Hampton Inn & Suites Boynton Beach. The 102,476-square-foot property was built in 1997 on a 3-acre property at 1475 Gateway Boulevard, about a mile west of Interstate 95. 

Secondly, Brasswater bought the 110-room Hampton Inn West Palm Beach Florida Turnpike for more than $19 million. The 68,800-square-foot asset sits just west of Florida Turnpike, adjacent to Okeechobee Boulevard at 2025 Vista Parkway. It was built on a 2.4-acre site in 2001. 

The total of the recent purchases is likely higher to include the furniture and business operations of the Hilton properties, which is often not reflected in public deeds that only value the real estate. New York-based Axonic Capital supplied a debt package backing both hotels totaling $42.2 million.  

Fairfax, Va.-based Hospitality Investors Trust had purchased the two hotels for a combined $43.6 million in 2015. 

The recent sales come as Hospitality Investors Trust has been selling off some of its South Florida properties. Starting in June, it sold a 117-room Hampton Inn in Palm Beach Gardens for $14.3 million, followed by the $9.8 million sale of another 106-room Hampton Inn in Deerfield Beach. 

Julia Echikson can be reached at jechikson@commercialobserver.com.