Apple Hospitality REIT Purchases Two Salt Lake City Hotels, and Their Shared Parking Garage, for $91.5 Million

With the purchase of the 175-room Courtyard by Marriott Salt Lake City Downtown, the 159-room Hyatt House Salt Lake City/Downtown, and the corresponding 346-space parking garage, the Apple Hospitality portfolio now includes 222 hotels with over 29,000 rooms located in 17 states, including five properties in Utah.

Richmond, Virginia-based Apple Hospitality REIT (NYSE:APLE) has acquired two Salt Lake City hotels and their shared parking garage for $91.5 million.

According to the company news release, the three properties purchased by Apple Hospitality are:

1. Courtyard by Marriott Salt Lake City Downtown, a 175-room property;
2. Hyatt House Salt Lake City/Downtown, a 159-room property; and
3. "... A corresponding 346-space parking garage ... which serves both hotels as well as the surrounding area."

Individual purchase prices for the three properties are

• $48.1 million for the Courtyard;
• $34.3 million for the Hyatt House; and
• $9.1 million for the parking garage.

According to the company,

"The hotels sit adjacent to one another and are located directly across the street from the Delta Center, within walking distance of Salt Palace Convention Center, and convenient to Temple Square, (the) Utah State Capitol, the University of Utah, Salt Lake City International Airport, (and) numerous performing arts venues..."

Nelson Knight, President, Real Estate and Investments of Apple Hospitality said the following about these acquisitions:

“The acquisition (sic) of the Courtyard and the Hyatt House in downtown Salt Lake City expand our presence within the vibrant Salt Lake market, an area well known for its business-friendly environment, attractive cost of living, cultural attractions and proximity to outdoor recreational activities. ... (Additionally,) we are actively underwriting additional opportunities and are well positioned to further add to our portfolio in the coming months.”

Apple Hospitality now owns five hotel properties in Utah, including

1. The Courtyard hotel noted above;
2. The Hyatt House noted above; and
3. Residence Inn Provo North;
4. Residence Inn Salt Lake City Murray; and
5. SpringHill Suites Salt Lake City Airport.

Although it traces its roots back over 20 years to its predecessor companies, Apple Hospitality was officially formed in 2007.

Its portfolio currently includes 222 hotels with over 29,000 rooms located in 17 states, making Apple Hospitality one of the largest publicly traded, hospitality-focused Real Estate Investment Trusts (REIT) in America.

According to its 2022 Annual Report (ended December 31 and filed on Form 10-K with the U.S. Securities and Exchange Commission), Apple Hospitality had gross revenue of over $1.2 billion and net income of nearly $145 million for the year.

Additionally, Apple Hospitality also disclosed in its announcement that it has another Utah-based hotel under contract for purchase, a transaction the company expects to close before the end of 2023.