**Alliance Residential Acquires Atlanta Hotel for Redevelopment into Apartments**
Alliance Residential has acquired the Homewood Suites by Hilton Atlanta-Galleria/Cumberland for $16.65 million. The development company plans to transform the property into a 300-unit apartment community featuring a mix of one- and two-bedroom layouts. Planned community amenities include a saltwater pool, a fitness center, and additional resident-focused features.
The Carlyle Group is reported to be involved in the transaction as well. The seller, Atlanta-based Artemis Hotel Group, had purchased the property in May 2024 for $12 million. They held the asset for 18 months in what began as an off-market acquisition from an institutional seller. In a LinkedIn post, Artemis highlighted a 23.52% internal rate of return (IRR) and a 1.5x equity multiple as part of the successful exit.
Originally built in 1990, the Homewood Suites offered 124 rooms before its recent sale. The redevelopment underscores the growing trend of repurposing aging hotel properties into housing as demand for residential units near key Atlanta landmarks, such as Truist Park, continues to increase.
