FORT WORTH — Crescent Real Estate LLC recently announced that it acquired The Hotel at Avalon, a 330-room luxury hotel in the Metro Atlanta suburb of Alpharetta, Ga., that is part of Marriott’s Autograph Collection. The property is the only hotel in the $1 billion, 86-acre mixed-use development community of Avalon. Crescent acquired The Hotel at Avalon on behalf of Crescent’s GP Invitation Fund II. Hodges Ward Elliott acted as the exclusive advisor to the seller in the transaction, representing a partnership of Stormont Hospitality Group, North American Properties, and Long Wharf Capital.
Opened in 2018, The Hotel at Avalon includes the 65,000-square-foot Alpharetta Conference Center with 44,000-square-feet of function space, a South City Kitchen restaurant (one of the top-grossing restaurants in metro Atlanta), as well as a full-service Starbucks. The property’s front entrance opens to 500,000 square feet of specialty retail, almost 600,000 square feet of Class A office space, more than 20 dining venues, and over 600 residential units comprising single-family residences and luxury rentals.
“This investment is a unique opportunity to own a best-in-market hotel with attractive growth and revenue characteristics. While the hotel has been impacted by the current COVID pandemic, The Hotel at Avalon has shown great resiliency and has materially outperformed the market on both occupancy and rate. The hotel is well-positioned to take advantage of the market recovery.” said Jason Anderson, co-CEO of Crescent.
“We were initially attracted to The Hotel at Avalon because it benefits from its location within Alpharetta, the fastest growing city in Georgia and the sixth fastest-growing city in the United States,” Anderson added. “Alpharetta has been nicknamed the ‘Technology Capital of the South’ and we believe its pro-business climate, mild weather, and attractive lifestyle will continue to draw new residents and companies to the area and generate outsized growth. The hotel’s unique location within Avalon provides an envious competitive advantage, one that we believe new competition will be unable to match for a long, long time.”
Crescent will retain HEI Hotels & Resorts to manage The Hotel at Avalon.