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Embassy Suites Phoenix Tempe Hotel – Image Credit CBRE
The Embassy Suites by Hilton Phoenix Tempe is now on the market, presenting a lucrative opportunity for potential investors. CBRE Hotels is managing the sale, emphasizing the property’s strategic location and potential for significant value enhancement. Situated directly off Highway 60, the hotel provides convenient access to key locations, including Arizona State University, Phoenix Sky Harbor International Airport, and the Phoenix Convention Center. This sale presents a unique opportunity to acquire a premium, full-service asset in the thriving Phoenix metropolitan area.
Investment Highlights
The Embassy Suites is institutionally owned and managed, and it will be delivered unencumbered of management. This offers a new owner the opportunity to significantly reduce expenses by optimizing housekeeping labor and lowering corporate overhead. The hotel is a premium-branded, full-service property offered well below replacement cost, making it an attractive acquisition. The Hilton branding, coupled with the Hilton Honors loyalty program, enhances its appeal to investors.
Renovation Opportunities
While the rooms have been recently renovated, the public areas and exterior façade have not, presenting clear opportunities for value enhancement. The hotel includes over 9,000 square feet of meeting and event space, which is currently underutilized. Upgrades in these areas are expected to significantly elevate the hotel’s market positioning. These enhancements are projected to drive growth in revenue per available room (RevPAR), particularly through increased group demand and improved rate performance.
Strategic Location
The hotel’s location offers proximity to diversified demand drivers. It is conveniently located near Arizona State University and Phoenix Sky Harbor International Airport, as well as attractions such as the Tempe Marketplace and Phoenix Convention Center. The area is well-connected, with a diverse array of restaurants and vibrant nightlife, establishing a reliable base of consistent demand for the hotel.
Economic Context
Tempe is part of the rapidly expanding Phoenix metropolitan area, known for its dynamic economy and cultural vibrancy. The broader Phoenix metro area is a hub of economic and cultural activity, attracting new residents and businesses at a rapid pace. The region offers a skilled talent pool, high quality of life, and robust infrastructure, making it a magnet for long-term growth and investment.
Inquire at CBRE.
