Crescent’s Acquisition of Historic The Madison Hotel Expands National Footprint in Washington D.C.
— Jason Anderson, co-CEO of Crescent
FORT WORTH, TEXAS, USA, April 25, 2022 /EINPresswire.com/ — Crescent Real Estate LLC (Crescent) has acquired The Madison Hotel, a historic 356-key luxury hotel located in the heart of downtown Washington DC, as the first investment in Crescent’s GP Invitation Fund III. The Madison Hotel offers guests enviable proximity to world-class restaurants and premier downtown offices, as well as easy walkable access to DC’s most coveted tourist and leisure attractions.
With the acquisition of Crescent, the Madison Hotel suffered a brand conversion and is now proud to participate in Marriott Bonvoy®, Marriott International’s award-winning travel program. As part of the brand conversion, Crescent will carry out a comprehensive, multi-million dollar guest-facing renovation of the historic hotel to further enhance its position as a business and leisure hotel in foreground in Washington DC.
Crescent has engaged HEI Hotels & Resorts, a nationally recognized hotel management company with extensive experience managing luxury and full-service hotels across the United States.
Located at the corner of 15th and M Street NW, the hotel sits directly across from Washington’s newest mixed-use development known as Midtown Center. Comprising more than 870,000 square feet and 4,000 employees, Midtown Center is home to Fannie Mae’s corporate headquarters. Midtown Center has 42,000 square feet of retail on the ground floor with an esteemed collection of restaurants, including Blue Bottle Coffee, Dauphine’s, SHŌTŌ, Akedo, and Philotimo.
Originally built in 1963 by famed hotelier Marshall Coyne, the Madison Hotel has hosted some of the country’s most distinguished guests and foreign dignitaries. Prominently located in the heart of the central business district, the Madison Hotel benefits from a unique and diverse set of demand drivers. Washington is home to all 3 branches of the US federal government, 15 Fortune 500 companies, the nation’s 2nd largest office market, world-class museums, and the world’s most distinguished institutions including the World Bank, International Monetary Fund, Federal Reserve and a plethora of nonprofits, lobby groups, law firms and corporate headquarters. The tech sector has also become a rapidly growing segment of the city’s economy, and tourism has steadily grown in the nation’s capital year after year, given the unrivaled attractions Washington has to offer. Washington DC has long been considered one of the most stable lodging markets in the country, buoyed by this persistent demand.
“This investment presents an extraordinary opportunity to own a renowned hotel at the center of the world’s most important institutions and truly unique cities. While the Washington hospitality industry has certainly struggled during the COVID pandemic, we believe now is an opportune time to acquire The Madison Hotel, complete a comprehensive guest hospitality renovation, and capitalize on the resurgence in demand generated by the unrivaled and diverse industries of Washington DC,” said Jason Anderson. , co-CEO of Crescent.
“We are thrilled to transition the Madison Hotel to Marriott’s first Bonvoy loyalty system. It’s a natural fit for the sophisticated, timeless character embodied by the Madison Hotel throughout its history,” Anderson added.
Eastdil Secured acted as exclusive advisor to the seller in the transaction.
ABOUT THE CROISSANT
Crescent Real Estate LLC (Crescent) is a real estate operating company and investment advisor, founded by Chairman John C. Goff, with assets under management, development and investment capacity of over $10 billion. . Through GP Invitation Fund I, GP Invitation Fund II and GP Invitation Fund III, the company acquires, develops and operates all classes of real estate assets alongside institutional investors and high net worth clients. Crescent’s premier real estate portfolio consists of Class A assets and creative office, life sciences, multifamily, hospitality and senior living properties located across the United States, including The Ritz-Carlton , Dallas, and wellness lifestyle leader, Canyon Ranch®. For more information, visit crescent.com.
About HEI Hotels & Resorts
HEI Hotels & Resorts, headquartered in Norwalk, Conn., is a leading hotel investment and management firm that owns or operates more than 85 independent luxury, upscale and upscale hotels and resorts and branding across the United States. HEI’s brand partners include Marriott, Hilton, Hyatt, IHG, Choice and Wyndham. The company is renowned for its commitment to associates, revenue management, profit contribution and real estate value creation based on empirical data, thanks to a complete suite of proprietary software tools to set and exceed objectives on a fully integrated base. HEI works hand-in-hand with institutional capital partners on existing assets under management as well as sponsored acquisition opportunities. The company has sufficient equity and strategically co-invests with its partners in numerous transactions. To learn more about HEI, please visit www.heihotels.com
Dennis E. Winkler
Crescent Real Estate
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