The Sheraton Memphis Downtown Hotel, boasting 590 rooms, is currently on the market for undisclosed price. Tim Osborne and Spencer Davidson of Hunter Hotel Advisors are the brokers handling this deal.
In 2017, Starwood Capital Group and Schulte Hospitality Group acquired this property which employs approximately 200 individuals. According to reports from the Memphis Business Journal, Bank of America provided a $43 million debt to Hotel Memphis in that same year.
In October of 2022, Starwood received a long-term PILOT (payment-in-lieu-of-taxes) from Center City Revenue Finance Corp., an affiliate board under Downtown Memphis Commission. This incentive was granted for their proposed expansion project which included adding another 300 rooms and renovating the existing structure with a budget set at $226 million. However, despite approval for a Tourism Development Zone surcharge by CCRFC to aid in funding this project at that time; it never came into fruition as owners did not follow through with their plans resulting in cancellation of both PILOT program and renovation plans.
This development marks one of largest hotels up for sale within city limits according to sources familiar with matter.
