NewcrestImage Fund Nabs Historic Magnolia Hotel
The nearly century-old Magnolia Hotel in Downtown Dallas is in the hands of a new owner.
Hotel owner and operator NewcrestImage acquired the asset from Denver-based Stout Street Hospitality using a $100M real estate fund launched this year.
Dallas-based NewcrestImage said its real estate fund has raised $25M in two months, allowing it to make the 325-room Magnolia Hotel its first purchase.
The skyscraper, which features the iconic winged horse sitting atop the building, first opened in 1922 as the headquarters for Magnolia Petroleum, which eventually merged with Mobil Oil, now ExxonMobil. Developers transformed the historic building into a luxury hotel in 1999, preserving the Mobil Oil winged-horse icon.
Located on Commerce Street across from the AT&T Discovery District, the Magnolia is close to three other NewcrestImage-owned or operated hotels in Downtown Dallas: the 128-room AC Hotel, the 121-room Residence Inn and the 176-room Hampton Inn & Suites.
The new owner is already considering rebranding options for the Magnolia, which has 115 suites, a fitness center, a business center, a restaurant, two lounges and 11 meeting rooms.
"I’m confident that NewcrestImage will find ways to make Pegasus even more meaningful, even more memorable for this property and for the community,” NewCrestImage CEO and Chairman Mehul Patel said in a statement. “We are a company that develops hotels, but we also conserve and preserve historic buildings.”
NewcrestImage owns and operates 30 hotels across the country.