AWH Partners has successfully purchased the dual-branded Fairfield Inn & Suites Boulder Broomfield/Interlocken and Residence Inn Boulder Broomfield/Interlocken, comprising 212 keys, in Broomfield, CO, for an acquisition price of $137,000 per key.
The management of the hotel will be taken over by Spire Hospitality, a subsidiary of AWH Partners. Situated between Denver and Boulder, Broomfield is recognized as one of Colorado’s rapidly expanding communities, driven by growth in industries such as aerospace, energy, life sciences, and technology, as noted by the company.
Chad Cooley, managing partner at AWH Partners, stated, “This acquisition marks our latest investment, leveraging our proprietary, top-tier technology and data platform, which is integral to our strategic portfolio expansion. This platform evaluates third-party and proprietary data to identify transactions with the best risk-reward dynamics for investment, positioning us to pioneer a new era in hospitality real estate investment.”
The purchase price represents a significant discount compared to replacement costs for a high-quality asset under two of Marriott’s leading brands. This investment promises strong, risk-adjusted returns with a 9.5% going-in cap rate for a recently constructed, well-recognized asset in an emerging market. The property’s consistent historical cash flows, combined with competitively priced long-term, fixed-rate financing, suggest exceptional returns based on the firm’s evaluations.
According to a CNBC analysis, the aerospace sector has experienced an 88% growth in the greater Denver-Boulder area over the past two decades. Moreover, CBRE identifies Denver-Boulder as a top U.S. life sciences real estate market, fueled by substantial public and private investments.
The property, positioned near the Interlocken Business Park, features extended-stay suites equipped with kitchens, along with dining options including a bar, buffet, and to-go services, as well as facilities for conferences and corporate events. It is conveniently located near Broomfield’s mixed-use Flatiron Crossing complex and Interlocken Golf Club, with the main campus of the University of Colorado Boulder just 10 miles away.
This article originally appeared on hotelbusiness.com.
