Fairmont Chicago Hotel Offered for Sale
On behalf of The Swig Company, Jones Lang LaSalle Hotels has been appointed to market for sale the 692-room Fairmont Chicago. The hotel is ideally located in the heart of Chicago’s business district and a block away from the “Magnificent Mile,” one of the premier shopping and residential addresses in the nation.Ê
This award-winning hotel, renowned for exceptional services and amenities, is connected to the 2.3 million sq. ft Aon Center, the 120,000 sq. ft. Lakeshore Athletic Club and Waves Spa and features 62,000 square feet of meeting space with spectacular views of Lake Michigan, Millennium Park and Lakeshore East. It’s Aria Restaurant and Bar was named one of the “Best New Restaurants” by Chicago Magazine. The Fairmont Chicago benefits from a long-term management agreement.
“The Fairmont Chicago represents a rare opportunity to purchase an irreplaceable trophy asset at a discount to replacement cost,” said Art Adler, managing director and CEO, Jones Lang LaSalle Hotels. “The $475 million Millennium Park continues to expand and is now an epicenter for the city’s major festivals and events. Given its proximity to major tourist attractions and diverse amenities, the hotel is well positioned to attract corporate, leisure and convention business. In addition, McCormick Place is on track for a record convention year in 2006, which will generate 2.2 million room nights.”
“The hotel is positioned to achieve RevPAR upside through strategic renovations, and improve margins through asset management, yield management and opportunities to close the ADR gap between the hotel and its luxury competition,” said Tom Fisher, executive vice president, Jones Lang LaSalle Hotels. “The Chicago MSA lodging market is currently at a cyclical low; offering an exceptional opportunity to
acquire a strategic asset with the benefit of an improving economy and
strengthening travel environment.”