The alcove

Troy & Southfield, Michigan     |     183,792 sq sf     |     Investment

The Alcove is a 2-property, 296-unit suite style hotel to apartment conversion portfolio. Both were built as Residence Inn by Marriott hotels and are currently franchised as Hawthorn Suites by Wyndham. The reimagined apartment communities will feature studio and one-bedroom apartment homes with stainless steel appliances and modern finishes. The properties are located in the affluent submarkets of Troy and Southfield, Michigan (Detroit MSA). The portfolio’s location within the MSA drives demand due to the sought-after school districts and strong nearby employment markets. The project provides an opportunity to create value by acquiring the existing hotels at a discount over replacement cost, changing the zoning to apartments, renovating unit interiors and exteriors, and leasing up the property as market rate apartments.