Brookfield Hotel Properties has acquired the 1,003-key Sheraton Phoenix Downtown, the largest hotel in the city, from Blackstone. Other terms and conditions were not disclosed. JLL’s Hotels & Hospitality group represented the Blackstone in the sale of 1,003-room convention center hotel, marking one of the largest hotel sales in Arizona's history, according to the company. Other terms and conditions were not disclosed.
The property last sold in January 2020 for $268 million when Blackstone purchased the hotel from Marriott International. Marriott had purchased the hotel 18 months earlier from the city of Phoenix.
The 33-story Sheraton Phoenix Downtown is the city's largest hotel, with 112,000-square-feet of flexible meeting and event space, including the 27,200-square-foot Phoenix Ballroom, the largest in the downtown market, and the 14,000-square-foot Valley of the Sun Ballroom. The property has 26 total meeting rooms, with the largest space accommodating up to 2,510 guests and 20 breakout rooms available for concurrent sessions.
Built in 2008 and enhanced through a comprehensive $45 million renovation completed in 2020, the hotel showcases modern amenities and sophisticated design throughout its 806,481-square-foot tower. All guestrooms, located on floors five through 33, have views of downtown Phoenix and the surrounding mountain ranges.
The hotel's food and beverage program has three distinctive concepts: Carcara, the signature restaurant, which was recently renovated, offering Arizona-inspired cuisine with Sonoran influences; &More by Sheraton, a versatile venue serving as coffee shop, grab-and-go market and evening bar; and Breeze Bar & Grill, located on the fourth-floor poolside terrace and offering panoramic downtown views. Additional amenities include a state-of-the-art 4,300-square-foot fitness center, outdoor pool, Sheraton Club Lounge and comprehensive business services.
Strategically positioned just two blocks from the Phoenix Convention Center, the hotel benefits from its proximity to major demand generators including the Footprint Center, Chase Field and Phoenix Symphony Hall. The property borders Arizona State University's Downtown Phoenix Campus and the expanding Phoenix Bioscience Core, while serving as the preferred headquarters hotel for the Phoenix Convention Center.
The JLL Hotels & Hospitality team was led by Senior Director Matt Riley.
"The Sheraton Phoenix Downtown represents the rare combination of institutional quality, strategic location and significant scale that attracts best-in-class capital," Riley said in a statement. "Phoenix has established itself as one of the most dynamic lodging markets in the United States, with downtown benefiting from diverse demand drivers including expanding convention business, corporate relocations and the growing influence of Arizona State University's downtown campus. This transaction validates the strength of the market fundamentals and the appeal of irreplaceable urban assets."