Category: Featured News

NEW YORK, May 19, 2015 /PRNewswire/ — Carey Watermark Investors Incorporated (CWI 1) announced that it has acquired a majority interest in the 299-room Ritz-Carlton Philadelphia (The Ritz-Carlton) in a joint venture with Philadelphia Hospitality Partners, L.P., the owner of the property.

Key Facts

• Historic property in premier Center City, Philadelphia location: Originally built between 1904 and 1908 as The Girard Trust Company, the rotunda and adjacent eight-story tower of The Ritz-Carlton Philadelphia were designed by McKim Mead and White; the adjoining tower was added in 1923. The building was expanded from 8 stories to a height of 30 stories in 1931 and converted to The Ritz-Carlton in 2000. Located within the central business district, the landmark hotel is adjacent to City Hall and within walking distance of the recently completed $50 million Dilworth Plaza fountain and skating rink, as well as fine dining and upscale shopping.
• Improving Philadelphia hotel market: One of the top 25 hotel markets in the United States, Philadelphia benefits from a well-diversified economic base with major sectors such as healthcare, education, legal, insurance and technology that serve as cornerstones for the market’s strength and vitality. According to PKF Hospitality Research, hotel occupancy in Center City Philadelphia hit 76% in 2014, the highest annual occupancy since 1949. The city is in the midst of a major revitalization with over 50 major Center City developments in progress representing over $4.7 billion in total investment. Some other notable, recent projects include the 2011 expansion of the PennsylvaniaConvention Center (and subsequent management change in late-2013), expansions at the University of Pennsylvania and the Jefferson Health System and large-scale redevelopment projects of historic buildings located throughout the city.
• $21.3 million hotel renovation plan: A $21.3 million comprehensive renovation of the entire property is planned for Q3 2015 through Q2 2016. All rooms will receive a full replacement of soft and case goods, along with bathroom upgrades. The lobby, meeting space, ballroom, corridors, club lounge and food & beverage outlets will all be renovated as well.
• Food & beverage reconceptualization: The venture expects to enter into an agreement with a third-party food & beverage operator to operate its newly-renovated and re-concepted restaurant and lounge.
• Strong Marriott brand affiliation: The hotel will continue to be managed by The Ritz-Carlton Hotel Company, L.L.C., an affiliate of Marriott International. As a member of the Marriott International family, The Ritz-Carlton Philadelphia benefits from its luxury branding and Marriott’s management platform affiliation, including access to its global distribution system and The Ritz-Carlton Rewards program.
• Amenities:
  • 299 guestrooms
  • 26,000 square feet of meeting and banquet space, including a 6,100 square-foot grand ballroom
  • Richel D’Ambra Spa & Salon
  • Fitness center
  • Business center
  • Two food & beverage outlets

Management Commentary

Michael Medzigian, President & Chief Executive Officer of Carey Watermark Investors: “The joint venture investment in The Ritz-Carlton Philadelphia allowed us to add a high quality landmark hotel to the Carey Watermark Investors portfolio. We are excited about the opportunity to recapitalize an exceptional asset in order to fund an extensive renovation and position the property competitively within the luxury sector of the market. The acquisition of an institutional-grade, luxury hotel in an established city-center location, in combination with the strength of The Ritz-Carlton brand, represents a unique and attractive opportunity as we continue to build out our portfolio.”

Carey Watermark Investors

Carey Watermark Investors Incorporated is a publicly registered real estate investment trust (REIT) that was formed to make investments primarily in the lodging and lodging-related sectors. Affiliates of W. P. Carey Inc. and Watermark Capital Partners advise CWI 1 and manage its overall portfolio. www.careywatermark.com

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Federal securities laws. The statements of Mr. Medzigian are examples of forward looking statements. A number of factors could cause actual results, performance or achievement to differ materially from those anticipated. Among those risks, trends and uncertainties are the risks related to the general economic climate, the supply of and demand for hotels, interest rate levels, the availability of financing, and other risks associated with the acquisition and ownership of hotels. For further information on factors that could impact CWI 1, reference is made to its filings with the Securities and Exchange Commission. Statements about past performance, which are presented for informational purposes only, are not a guarantee of future results.

Company contact:

Kristina McMenamin
W. P. Carey Inc.
212-492-8995
kmcmenamin@wpcarey.com

Press contact:
Guy Lawrence
Ross & Lawrence
212-308-3333
gblawrence@rosslawpr.com

The Ritz-Carlton, Bachelor Gulch has majestically held its place on the mountain in Beaver Creek for several years. Rustic, elegant design makes this larger-than-life lodge feel at home on the Colorado mountainside, but recent renovations have taken this AAA four-diamond property to the next level. Chic interior design updates, new lounge spaces and innovative fine dining abound at the new property.

Immediately upon entering the resort, return guests will notice the changes that were made to this classic property. Lush blue furniture and open spaces now occupy the main lounge area right off the slopes—a far more contemporary twist to the mountain property—the Ritz-blue furniture and accents lighten the space.

Off the newly re-decorated main living room is Buffalos restaurant, which serves breakfast, lunch and dinner. The expanded space which used to house a bar and ski-in, ski-out deli, is now ultra-chic with a backlit bar and comfortable seating to take in the mountain view or devour a scrumptious snack. Specializing in local, farm-sourced ingredients, everything from the food to local craft beers at the Bison Tartar restaurant are perfectly enjoyed in this new space. Also, rich interiors and pops of color are a stunning addition Spago’s dining room.

The Club Level has also received a facelift, bright rooms and interiors spaces lighten the entire floor.  A move away from the dark woods and rustic interiors, the lighter spaces feel airy and complement the mountainside views of the pool and lift below. From the Club Level Lounge, guests can see the surrounding valley while enjoying one of many food services during the day or relaxing with a glass of wine after a long day of skiing, snowshoeing, hiking, or mountain biking.

One of the most exciting additions to The Ritz-Carlton, Bachelor Gulch is the Bachelor’s Lounge. Previously the kid’s club, the venue offers both inside and outside spaces where live music and a cigar bar meld with creative cocktails to create a unique adults-only atmosphere. Of the cocktail offerings, The Vaportini—which comes in several flavors and styles—essentially vaporizes the alcohol that is consumed through a glass straw. A bit of a buzz without any of the calories, the fanciful take on classic beverages is an entertaining end to an evening. Guests can also enjoy an imported cigar on the outdoor heated patio or sip on a glass of wine chosen by the sommelier in the crisp mountain air.

From the fireside s’mores to a sprawling spa complete with underground grotto, outdoor pool and Jacuzzis to its own ski lift, The Ritz-Carlton Bachelor Gulch is decidedly the King of the Mountain. World-renowned service coupled with this renewed mountain property make for an excellent escape in Colorado.