News

Two Downtown Boutique Hotels Are Now For Sale

The Hotel Burnham at the Reliance Building, 1 West Washington Street, Chicago
Courtesy of CoStar

Where is the demand for downtown hotel assets? Several are on the market waiting for the right bid, but with one notable exception, there has been silence. And the market for quality assets is growing.

Lone Star Funds has put the Hotel Burnham (shown) on the market, while Clarion Partners is seeking a buyer for the Hotel Allegro. It will be interesting to see what these two hotels eventually sell for.

The main floor lobby at the Hotel Allegro, 171 West Randolph Street, Chicago
Hotel Allegro

Lone Star bought the 122-room Burnham two years ago out of foreclosure, in a $35.2M deal. The firm hired CBRE to court bids for the property. Clarion paid $70M for the 483-room Allegro (pictured) in 2007 and completed a $20M renovation last year. JLL is handling bids for the Allegro, according to Crain's.

Kimpton operates both hotels and the Hotel Palomar, which went up for sale in February. Another Kimpton Hotel, the Kimpton Gray, is expected to open next month.

Other notable hotels on the market include Soho House Chicago, which will likely set a record per-room price when it lands a buyer. The biggest hotel sale of the year to date is Union Investment Real Estate's $315M purchase of Londonhouse from Oxford Capital. [Crain's]

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's Chicago Newsletters
Related Stories

California Investor Scoops Up Amazon Warehouse: The Chicago Deal Sheet

Historic Brooklyn Hotel To Be Turned Into Ritz-Carlton-Branded Condos

How Crystal Lake 'Connects The Dots' To Building Complete Community

Daniel Negari Buys Downtown LA Hotel For $34M

Brandon Johnson Seeks Second Term Amid Strained CRE Relationship

Luxury Marriott Hotel Will Take Space In Charlotte Office Conversion

Prologis Acquires 69 Acres For 1M SF Chicago-Area Industrial Development

First LaSalle Street Reimagined Conversion Opens In Chicago's Loop

Inland Scoops Up 2 Senior Living Facilities: The Chicago Deal Sheet

Thor Equities Reacquires Retail Portion Of Palmer House After Losing It To Foreclosure In 2023

Future White Sox Owner Advances Push To Build New Riverside Stadium

Republican Midterm Convention Could Fill More Than 5,000 Hotel Rooms In Dallas