Newly formed SLB Hotel Group has acquired its first hotel property after paying $8.7 million for a 197-room hotel on Kissimmee's W192 corridor, about a mile from Walt Disney World.
The Comfort Inn MainGate was built in 1983 and sits on 4.6 acres just east of Formosa Gardens. It is a Disney "Good Neighbor Hotel."
CEO Al Borrero said the hotel had recently been renovated and was in excellent condition. SLB plans to upgrade the landscaping and irrigation. "The inside looks nice - the previous owner did a nice job," he said.
The hotel location near the the S.R. 429 interchange and its proximity to the new Margaritaville Resort and theme parks was a major selling factor.
"We like west Kissimmee," Borrero said. "They're really improving the area, and we think we're catching it on the upswing."
SLB is named for its three officers: COO Ed Swain, VP Matt Lawrence and Borrero. Swain and Lawrence have a combined 35 years of management experience with Extended Stay Hotels. Borrero, who also serves as CFO, is a financial adviser.
"We've all known each other professionally for years," Borrero said. The company will specialize in the acquisition, renovation and management of limited-service and full-service hotels.
"The idea was to start with this one, and then in about a year look at adding properties," he told GrowthSpotter. "And we're open for management contracts with other hotel owners."
Financing was provided by Ladder Capital.
The seller was Azim Visram, through his affiliate Destination Hotel LLC. He bought the hotel in 2005 for $5.1 million.