M.A. Mortenson has sold the new Hampton Inn & Suites, the first hotel built in downtown Minneapolis since the recession, for $39 million.
The Golden Valley-based construction and development firm announced the sale one day after the new 211-room hotel opened for guests. The buyer is Texas-based Summit Hotel Properties, a publicly-traded REIT with 91 lodging properties in 21 states.
The Hampton Inn & Suites is the first of this brand in Minneapolis. Located in the heart of the city's entertainment district at the corner of 1st Avenue and 8th Street, the nine-story building is one block from 1st Avenue & 7th Street Entry entertainment venue and skyway-connected to the parking garages next to Target Center. It is two blocks from the popular Loews Minneapolis Hotel.
“The new Hampton Inn & Suites represents the first ground-up hotel to open downtown Minneapolis since 2009 and will contribute to the continued renaissance within the City’s urban core,” said Nate Gundrum, development executive at Mortenson, in a statement. “We are excited to bring this property to the market and look forward to completing several other real estate development projects in the area.”
Mortenson announced in November its plans for developing and building an AC Hotels by Marriott at 401 Hennepin Av. S. across 4th Street from the Minneapolis Central Library. That is also a nine-story hotel with 244 rooms and is estimated to cost $48 million to build.