ROSWELL, Ga. — An Atlanta real estate investment company has purchased the DoubleTree by Hilton Atlanta Roswell hotel for $13.75 million.
RADCO Companies is planning to modernize and upgrade the hotel for an additional cost of about $6.25 million. These plans will largely focus on the hotel’s guestrooms and guest bathrooms, common areas, mechanicals and technology.
The property, located on Holcomb Bridge Road, is currently the only full-service hotel between the Perimeter and Alpharetta. It was constructed in 1985 and sits in a prime location adjacent to Ga. 400.
The DoubleTree by Hilton Atlanta Roswell hotel consists of 76 double-double and 98 king rooms, more than 7,800 square feet of meeting space, a full-service restaurant and bar, fitness center, mini market and outdoor pool.
During the COVID-19 pandemic, the hospitality sector, in general, saw a major decline, resulting in drastically reduced occupancy and average daily rates. In response, RADCO launched a hotel division in early 2021. The deal is the division’s first acquisition.
Andy Williams, executive director of the Roswell Convention and Visitor’s Bureau, said although the acquisition is interesting, it is not unexpected, as RADCO is taking advantage of an opportunity to add an asset to their portfolio.
“Investment in hotel product that elevates the guest experience, whether in exterior aesthetics, interior spaces, meeting spaces or onsite amenities, is generally going to net a positive result and create a higher demand for that property,” Williams said.
Should RADCO move forward with its plans to invest in improvements to the hotel, Williams said, it would only make it better.
“Since our destination attracts leisure travelers, business travelers, weddings and other types of group business, we would expect this to have a positive impact on our community and the transient business we are able to attract to the city,” Williams said.
The Ga. 400 corridor is growing rapidly. It is home to major employers such as State Farm, Mercedes-Benz, UPS, Kimberly Clark, Verizon and more than 700 tech companies based in Alpharetta.
Norman Radow, CEO of RADCO, said the company’s move into the hospitality sector is a return to its roots.
“We seek to invest in assets with a compelling acquisition story, and RADCO’s purchase of the DoubleTree by Hilton in suburban Atlanta employs all of RADCO’s investment criteria, representing an attractive opportunity in an excellent location,” Radow said.
On Aug. 23, the Roswell City Council approved site plan changes to allow for the city’s first boutique hotel in historic downtown to move forward. The project has been in the works for about five years and is estimated to be a $90 million investment for Roswell.
The developer, West Alley LLC, expects to begin construction of the boutique hotel in 2022 or 2023. Once built, the boutique hotel and DoubleTree by Hilton Atlanta Roswell hotel will sit less than three miles apart from each other.