Done Deals: HFF closes $23.5 million sale of designer boutique hotel in Waikiki Beach area of Honolulu

Tuesday, June 4, 2013

HFF closes $23.5 million sale of designer boutique hotel in Waikiki Beach area of Honolulu

Hotel Renew, Honolulu, to be renamed Hotel Renew by Aston

Holden Lim

SAN FRANCISCO, CA – HFF announced today that it has closed the $23.5 million sale of Hotel Renew, a 72-room, fully-renovated, designer boutique hotel in Honolulu, Hawaii.

HFF marketed the property on behalf of the seller, Z-Tower, LLC. An affiliate of Atrium Holding Company purchased the asset for $23.5 million. The hotel was offered fee simple and unencumbered of brand and management, a rarity in Hawaii. The buyer will rebrand the property as Hotel Renew by Aston.

William Stadler

Hotel Renew is located at 129 Paoakalani Avenue one-half block from the world-renowned Waikiki Beach. Originally built in 1967, the nine-story property was completely renovated in 2008, guided by the acclaimed designer, Jiun Ho, which totally transformed the property into a designer boutique hotel.

Hotel amenities include Renew Lounge serving continental breakfast and evening cocktails, garage parking and on-site moped and surf board rentals.

The HFF investment sales team representing Z-Tower, LLC, was led by managing director Holden Lim, senior managing directors William Stadler and Dan Peek and managing director Scott Hall.

“We are very pleased to have had the opportunity to represent the seller in this important assignment. Due to the unique attributes of the Hotel Renew and strong momentum of the hotel market in Honolulu, where RevPAR growth has been the strongest of all the major markets in 2012 and year-to-date 2013, we received significant interest from both domestic and international investors,” noted Lim.

Scott Hall

“As owners of a boutique hotel whose renovation and grand opening coincided with the Great Recession, we feel pleased and rewarded that we held onto our dream renovation, which converted to financial viability once the economy turned; and has rendered our hotel greatly desired by consumers and potential buyers alike,” said Steve Heimler, Principal of Z-Tower, LLC.

“HFF did a great job in representing ownership and the sale was conducted nearly flawlessly and with an extremely positive outcome for us.”