Recently, Marriott announced it sold its downtown Phoenix Sheraton to Blackstone, one of the largest global multi-sector private equity firms. The Marriott had originally acquired the property in 2018 from the city of Phoenix for $255 million. According to public filings, Blackstone made its acquisition for $268 million.
For the past few months major renovations have been underway to transform the location into a place where visitors and the community can come together. Those renovations are expected to continue and be completed in the first half of 2020.
Blackstone has been bullish on the Phoenix market. It has invested nearly $1 billion across real estate types including rental homes, apartments and mobile home parks. In aggregate, it owns almost $3.8 billion in real estate assets in Arizona.
Blackstone’s Head of Real Estate Americas Nadeem Meghji commented, “We are big believers in Arizona and have invested significant capital into our portfolio companies and real estate properties across the state. We are proud of the jobs those investments have created and look forward to continuing to invest in the state and its people in the years to come.”
A couple of the firms notable recent investments include its 2019 purchase of JW Marriott Desert Ridge Resort and Spa in Phoenix for $602 million and its 2018 purchase of the iconic Arizona Biltmore for $403 million.
