One of the Richmond market’s largest hoteliers has dropped nearly $44 million to expand its holdings farther beyond its home town.
Chester-based Shamin Hotels in recent weeks acquired two hotels: an 81-room Hampton Inn in New York City, and a 210-room Best Western Plus in Longmont, Colorado.
CEO Neil Amin said the firm paid $32.4 million for its New York City property on March 6, and $11.5 million for the Colorado hotel last month.
“Both properties were of interest to us because they in are growing markets,” Amin said.
Both properties are the company’s first in their respective states. The bulk of its nearly 50 hotels are in Richmond and it also has expanded into Maryland, North Carolina and Florida in recent years.
The seven-story New York property sits on Pearl Street near Battery Park and was originally constructed in the 1930s as an office building, Amin said. The property was last upgraded in 2012.
The Best Western Plus in Colorado was first constructed in 1983 before it was upgraded in 2012, Amin said. He said Longmont’s growth, access to Denver and redevelopment of a former indoor mall nearby sold the group on the property.
“It’s a very healthy market,” he said of Longmont. “The redevelopment of the mall property, alone, was a major selling point for us.”
The company is planning minor upgrades to the hotels, Amin said, including a $2 million renovation of the Best Western Plus property in Colorado that houses a 35,000-square-foot conference center.
“The upgrades will be minor upgrades: new furniture, new carpet … those types of changes,” Amin said. “We plan to make upgrades to the Hampton Inn property as well, but we’re still working to determine how much those changes will be.”
Amin said it will maintain the hotel brands at each property.
With the exception of its Colorado holding, Amin said, Shamin will continue to focus additional hotel investments along the East Coast.
“Colorado will probably be as far as west as we go,” he said.
The New York City and Colorado purchases come as the group prepares to add more local rooms to its portfolio.
Shamin is preparing to break ground on the seven-story, 135-room Homes2 Suites this year at 209 Towne Center West Blvd. in Short Pump. The company also is developing a 126-room, six-story Hampton Inn & Suites on about 4 acres across Broad Street, just west of the GreenGate development.
Another new hotel by the company is in the works at 501 E. Franklin St. downtown, where it is converting an old office building into an 87-room Moxy Hotel by Marriott.