Stockdale Capital Partners has snagged a Houston hotel in a premier location, betting on continued post-pandemic recovery for the city’s lodging industry.
The Los Angeles-based firm acquired the 354-room InterContinental Houston – Medical Center, a prominent luxury hotel at 6750 Main Street in the heart of downtown, on undisclosed terms, the Houston Business Journal reported.
Stcokdale was drawn to the hotel due to the anticipated growth of the nearby Texas Medical Center — a leader in life sciences research, with the M.D. Anderson Cancer Center as an anchor. Plus, the hotel’s location is poised to attract both business and leisure travelers, with NRG Stadium, Rice University and the Museum District all in close proximity.
“The InterContinental Houston is the only luxury hotel in the TMC area, and we intend to build even further upon its strong track record of success,” Stockdale’s Bill Doak told the outlet. “Stockdale Capital Partners continues to be well-positioned as the travel and hospitality sector makes a strong recovery.”
Built in 2019, the 21-story InterContinental Houston is operated by IHG Hotels & Resorts, and it was developed by Houston-based Medistar and TRC Capital Partners. The hotel received a $102 million loan from Cottonwood Group and Hana Alternative Asset Management in 2019.
Amenities include a Safina Restaurant, the Naturalist Café and Lounge, 18,000 square feet of meeting space, a 24-hour fitness center and an outdoor pool. The lobby is shared with the Latitude Med Center apartment complex, developed by Greystar.
Despite Houston’s reputation as one of the worst hotel markets in the nation, plagued with low occupancy rates and high delinquency, some investors are showcasing confidence that it will return to pre-pandemic levels across the various segments of the hospitality trade.
Neway Hospitality is building a 17-story Holiday Inn Express/Staybridge Suites near Minute Maid Park in downtown. And CDC Houston bought a majority stake in two hotels earlier this year: the Residence Inn by Marriott Houston Springwoods Village at 22814 Holzwarth Road and the Courtyard by Marriott Houston Springwoods Village 22742 Holzwarth Road.
—Quinn Donoghue
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