Atlanta, GA

CBRE Arranges Sale of 65-Property Hotel Portfolio worth $514 Million

The properties are located in 27 states across the country

January 17, 2023

Exterior of a Simply Suites hotel entrance

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Ryan Salchert

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CBRE has arranged the sale of a 65-property, 7,865-key hotel portfolio located across 27 states. Massachusetts-based REIT, Service Properties Trust, sold the portfolio to 21 separate buyers for a total consideration of approximately $514 million.

Al Calhoun and Mark Fair of CBRE Hotels’ Capital Markets Institutional Group represented the seller in each transaction. The list of buyers includes mostly family offices and some private equity firms.

The portfolio is comprised of 14 Sonesta Simply Suites, 32 Sonesta ES Suites, and 19 Sonesta Select hotels. More than half of the portfolio’s 65 hotels are located in the top 25 most populated U.S. metro areas, including Atlanta, Baltimore, Boston, Chicago, Dallas, Detroit, Houston, Minneapolis, New York City, Philadelphia, Portland, San Antonio, St. Louis, and Washington DC. By region, the Midwest has the most hotels with 20 and the most rooms with 2,364. The Northeast/Mid-Atlantic has the second highest concentration with 18 hotels and 2,347 rooms.

“This transaction represented a highly strategic disposition execution for Service Properties Trust, generating substantial sales proceeds and converting a majority of the properties from managed to long-term franchised, contributing to the growth of Sonesta’s franchise business,” said Mr. Fair, Vice Chairman at CBRE in Atlanta.

The last four quarters ending in Q3 2022 has seen approximately $43.8 billion in hotel investment in the U.S., a 20.3% increase over Q3 2020-Q3 2021, according to a recent CBRE report. Over the last four quarters, hotel investment in the U.S. has made up 5.1% of total capital markets activity.

About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at