Marcus & Millichap facilitated the $15 million sale of the Residence Inn by Marriott Boca Raton, a 120-room extended-stay hotel in Boca Raton, Fla. Other terms and conditions were not disclosed.
David Altman, managing director investments, and Jeff Halavacs, investment associate, worked in collaboration with Adam Sklaver and Phil Kates of Marcus & Millichap’s Commercial Property Auction Services team.
Through the teams’ combined national outreach, the asset drew significant investor interest. Responding to competitive momentum, the buyer, an investment group based in Michigan, pre-empted the auction with an offer acceptable to the seller. The group plans to remove the Marriott franchise and convert the property to student housing supporting Florida Atlantic University.
“It’s a great property that was having operational and management issues,” Altman said in a statement. “Rate and occupancy were declining, expenses were increasing, and Marriott was threatening to pull the flag. The buyer is leaning into Florida’s Live Local Act to give the site a second life as housing for Florida Atlantic University, which is about three miles away. It’s a smart plan for the property and will provide much needed housing for the growing university.”