Downtown Chicago hotel sells at huge loss
City’s hotel industry hit hard by pandemic
UPDATED Jan. 11, 2022, 5:32 p.m.: The former Cambria Chicago Magnificent Mile hotel in Streeterville was sold at a discount of almost 50% in December to an enterprise owned by Marc Realty Vice President Gerald Nudo, capping off a tumultuous two years for the business.
Though Nudo paid $18.8 million for the property, the full purchase price of what is now the Hotel Audrey came out to about $24 million, including furniture, fixtures and equipment, according to Crain’s. That’s roughly half of the $45 million the sellers sunk into the property since acquiring it in 2012. The sale works out to around $110,000 per room.
The sleek, 28-story building with glass-facade at 166 E. Superior St. features meeting space and a rooftop bar, according to Crain’s. Rooms were listed on Monday for $93 per night.
Chicago hotels have been among the pandemic’s hardest hit businesses, with more than half of the city’s hotels at least 30 days delinquent or in special servicing, a step toward resolving a debt, often by a sale.
Hotel Audrey has been in the news since September 2018 when its workers became part of a citywide hotel union labor strike, according to Crain’s. The strike was resolved in a month for most businesses, but continued into 2020 at what was then the Cambria. The hotel has undergone two name changes since the start of the strike, rebranding first as Hotel 166 after losing the Choice Hotel’s International Cambria brand, and then as Hotel Audrey in late 2020, after coming under the management of Oxford Capital Group, a Chicago-based hotelier.
[ Crain’s] – Harrison Connery
CORRECTION: Removes incorrect second paragraph reference to Lowe’s.