Paramount Hotel Group Adds Two Hotels to Growing Management Portfolio, Suburban Boston Properties First in New Relationship with Rockwood Capital
Aloft Lexington, Element Lexington Bring New Management Contracts to Five in 2013
Paramount Hotel Group, an independent hotel management and ownership company, today announced it signed management contracts to operate the Aloft Lexington and Element Lexington hotels here in suburban Boston. It also marks a new relationship with real estate investment firm, Rockwood Capital, which recently acquired the hotels from Starwood Hotels and Resorts, Worldwide, Inc.
"Paramount has a good eye for identifying hotel real estate opportunities, especially in suburban markets with good risk / reward dynamics," said Tony Larino, Managing Director and Head of Lodging at Rockwood Capital. "They provided great due diligence support and presented a number of strategic and tactical plans to immediately enhance returns. We look forward to the opportunity to work on additional projects together."
The two-hotel addition to Paramount's management portfolio marks the company's fourth and fifth new management contracts in 2013, pacing ahead of the company's previously announced plan to expand its management portfolio by 10-12 hotels in 2013. Last month, Paramount added a SpringHill Suites by Marriott and a Fairfield Inn & Suites by Marriott located in West Des Moines, Iowa, and a Courtyard by Marriott in suburban Cleveland, Ohio.
These properties, located just off the Massachusetts Turnpike at 727 Marrett Road in Lexington, are separate hotels, sharing the same site. "The Aloft and Element Lexington are less than five years old, in excellent physical condition and will require minimal enhancements as part of the change in ownership," Kramer said. "Our plan is to build on Starwood's excellent work and take advantage of the opportunities provided by our size and proprietary approach."
The hotels target distinctly different guest profiles, but share the advantages of economies of scale and the Starwood Preferred Guest program. Aloft Lexington offers 136 guest rooms, indoor pool, w xyz bar, fitness center and meeting space. Element Lexington is a high-end extended-stay hotel featuring 123 guestrooms designed for the longer-term guest with well-equipped kitchenettes, a fitness facility and meeting space.
About Paramount Hotel Group
With a history spanning over 30 years, Paramount has a proven track record of success. Paramount has earned its position as an industry leader by expertly managing all aspects of operations for a hotel and maintaining proactive and transparent communication between its properties and the owner"s asset management teams. Paramount also earns praise for its ability to create exceptional asset value through renovating, re-branding and repositioning hotels. Paramount continues to look for attractive acquisition opportunities for its capital partners, along with the 3rd party management contracts.