The Scottsdale, Arizona, area boasts more than 200 golf courses.
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Two of the largest resorts in the Scottsdale, AZ, area have changed hands. Real estate investment firm Southwest Value Partners purchased the two Hilton properties for a combined $162 million, Commercial Property Executive reports.
Robert Sarver, majority owner of the Phoenix Suns, co-founded Southwest Value Partners in 1990 and remains a principal.
Southwest Value Partners acquired the 378-room DoubleTree Resort by Hilton Paradise Valley-Scottsdale, along with an adjacent 11,000-square-foot office building, for $100 million and the 235-room Hilton Scottsdale Resort & Villas for $62 million, according to Commercial Property Executive.
The sale was completed on January 31, states the Phoenix Business Journal, citing real estate database Vizzda. The seller of both properties was Rockpoint Group LLC.
Located on Scottsdale Road within a mile and a half of each other, the resorts are close to downtown Scottsdale and the Phoenix International Airport and offer views of Camelback Mountain. Both are currently managed by Louisiana-based Dimension Development Company, which will retain its role under the new ownership.
DoubleTree Resort by Hilton Paradise Valley-Scottsdale
The DoubleTree Resort by Hilton Paradise Valley-Scottsdale (5401 N. Scottsdale Road) was built in 1982 and sits on 23 acres. Amenities include two outdoor pools, tennis and basketball courts, a putting green, spa services, a fitness center, and 40,000 square feet of indoor and outdoor event space. In 2015, a $12 million renovation expanded the resort’s dining options and added enhancements to both pools.
Hilton Scottsdale Resort & Villas
The Hilton Scottsdale Resort & Villas (6333 N. Scottsdale Road), built in 1979, underwent a $5 million renovation in 2016. The 25-acre property includes 45 two-bedroom villas, 190 guestrooms and suites, and three restaurants. Amenities include an outdoor heated pool, a fitness facility, and a spa, as well as 25,000 square feet of indoor and outdoor event space.
Rockpoint Group acquired the Hilton Scottsdale Resort in 2018 for $47 million, according to Commercial Real Estate Direct.
The new owner’s plans for the two properties include “substantial upgrades,” Commercial Property Executive reports. In a statement cited by Connect Phoenix, Southwest Value Partners said, “We look forward to making numerous quality upgrades to the guestrooms, meeting space, and grounds and landscaping at both hotels that will further enhance the guest experience and solidify each property as a top resort destination.”
Southwest Value Partners is based in San Diego, with offices in Scottsdale and Nashville. In addition to hotels, the firm’s nationwide portfolio includes commercial office space, apartments, and land. Southwest Value Partners’ other Phoenix-area properties include the 487-room Westin La Paloma Resort & Spa in Tucson, which features a Jack Nicklaus Signature Golf Course.
The firm is also master developer of Nashville Yards, a 17-acre mixed-use project currently underway in downtown Nashville, where the first of two office buildings for Amazon is nearing completion, according to the Nashville Post.
Rockpoint Group, a real estate private equity firm and Registered Investment Adviser, is headquartered in Boston, with additional offices in San Francisco, Dallas and London. The firm “targets primarily investments in office, hospitality and multifamily assets in major coastal markets in the United States.”
Robert Sarver purchased the Phoenix Suns in 2004 for $401 million. He also co-owns Spanish soccer team RCD Mallorca and serves as executive chairman of Western Alliance Bancorporation (NYSE: WAL).