Burbank Airport Marriott Sells for More Than $100 MillionMonday, January 12, 2015
The Los Angeles Marriott Burbank Airport hotel, the second-largest in the Valley at 488 rooms, has changed hands for more than $100 million, the buyer announced on Monday.
AWH Partners LLC and Starr Cos., both in New York, acquired the 12-acre property adjacent to the Bob Hope Airport last month from Westbrook Partners, said Chad Cooley, principal at AWH Partners. It is the first joint venture between the two firms and AWH’s first acquisition in Southern California. The deal closed Dec. 11.
“We’ve been chasing deals in L.A. for the last five years and we were ecstatic to find this,” Cooley said. “We really like the dynamic in Burbank and the growth environment for that market. We think it’s a terrific opportunity.”
Westbrook Partners, a New York private equity firm, had AWH on its short list of potential buyers when it put the hotel on the market last year. Starr Cos. is an insurance and investment company run by Maurice “Hank” Greenberg, the former chief of insurance giant American International Group.
AWW Partners’ hotel management company, Spire Hospitality, will assume management of the hotel under a franchise agreement with Philadelphia-based hospitality company Marriott International Inc.
AWH Partners plans to complete an ongoing $13.5 million renovation of the hotel and its nearly 46,000-square-foot convention center, Cooley said.
Since 2010, AWH Partners has made more than $575 million in hotel investments and will continue looking for opportunities in Southern California. “We’re very excited to plant our flag in the area,” Cooley said.
The property, which is comprised of a nine-story West Tower and an eight-story East Tower, is at 2500 N. Hollywood Way, adjacent to Bob Hope Airport.
Scott Hall, managing director at HFF, represented Westbrook in the deal.