Interport Capital is pleased to report the successful realization of the Residence Inn by Marriott Steamboat Springs, a transaction that exemplifies our investment philosophy and demonstrates the value creation potential of our hospitality platform. The 110-room, all-suite property was sold in July 2021 to Summit Hotel Properties, a publicly traded REIT operating in joint venture with GIC, Singapore's sovereign wealth fund, for $33 million. The property achieved its three-year forecasted stabilized rate within just six months of opening, a remarkable outcome that reflects both the quality of the asset and the precision of our original underwriting. Forbes recognized the property as a "Top New Ski Hotel for Winter 2020-2021," confirming the caliber of the hospitality experience our team delivered.
“Selling at the three-year stabilized rate within six months of opening validated our thesis that institutional-quality hospitality assets in supply-constrained resort markets can achieve accelerated returns when the underwriting is rigorous and the operations are first-rate.”
The Residence Inn was developed by Cypress 16, the development firm led by Gary Roffe and Leon Hurley, both of whom are now integral members of Interport Capital's leadership team. The 78,900-square-foot, four-story property was designed by DesignCell Architecture (their 35th hotel project) and sits on the banks of Fish Creek, minutes from the Steamboat Ski Area on Mount Werner. The all-suite configuration was a deliberate strategic choice: extended-stay product in mountain resort markets captures both the traditional leisure traveler and the growing cohort of remote workers seeking longer-duration accommodations in desirable locations. Every suite features a full kitchen, living room with king-size bed and sleeper sofa, and modern amenities designed for the discerning mountain traveler. The property also includes a heated year-round outdoor pool and hot tub with views of Fish Creek, a fire pit, full-service lobby bar and restaurant, fitness center, and dedicated bike and ski storage with gear wash stations. Remington Hotels, for whom this was their first Colorado property, delivered the operational excellence that positioned the asset for a premium disposition.
The Residence Inn transaction is instructive beyond its financial returns. The property was originally sourced as an off-market opportunity through the personal relationships and industry networks that define Interport Capital's competitive advantage. Our team's close ties to hotel management companies and the institutional investment community enabled us to identify and underwrite the opportunity before it reached the broader market. The sale to Summit Hotel Properties, brokered by CBRE's Mark Darrington, Larry Kaplan, and Rick Rush, demonstrated that disciplined sourcing, patient development execution, and strategic timing of exits can generate institutional-grade returns even in turbulent market conditions. This sourcing capability, combined with our willingness to navigate complex development timelines and our disciplined approach to leverage and capital structure, is the engine that drives repeatable value creation across our hospitality portfolio.
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