Latest news: McSam sells in NYC; Oliver to double portfolio; construction costs up last month

McSam sells in NYC. Sam Chang's Great Neck, New York-based McSam Hotel Group has sold the 201-key hotel near Queens’ John F. Kennedy International Airport to New York City-based Liberty One Group for $42 million, according to City Observer. McSam, through its entity Brisam JFK, sold the former Holiday Inn to Liberty One Group through its entity 154-71 Brookville Owners.

Driftwood adding in San Diego. Miami-based Driftwood Capital has secured $37.9 million in construction financing to develop the 148-key Element by Westin Mission Valley in San Diego, scheduled to be completed by the end of 2026. Driftwood acquired the adjacent hotel, the Marriott Mission Valley, in 2019 with the adjacent development parcel and planned to renovate the existing property and later develop an extended-stay hotel. IPA Capital Markets, a division of Marcus & Millichap, secured the financing from Fifth Third Bank.

Construction materials up in January. Overall construction input prices rose 1.4% in January from December, which is a 40+% increase since February 2020, according to a report by the Associated Builders and Contractors. The study analyzed the U.S. Bureau of Labor Statistics Producer Price Index report that was released last week. The price was largely driven by a nearly 15% jump in crude petroleum, a 13.7% rise in natural gas prices and a 13% increase in unprocessed energy material prices or basic materials used to produce energy and energy products.

Oliver Hospitality doubling portfolio. Nashville-based management and development company Oliver Hospitality is adding two hotels and expects to double its portfolio size from of seven hotels and nine restaurants in the next two years. The historic Andrew Johnson building is returning to its hospitality roots as a soon-to-open boutique hotel in Knoxville, Tennessee. The renovations are expected to be completed in early 2026 when it will become a 192-key hotel. Oliver also developed the new 156-key Doubletree by Hilton Clarksville Riverview Hotel, which opened last October in Clarksville, Tennessee. The company is also converting an historic building into a hotel in Detroit that is scheduled to open in 2027. The company is also in the final stages of solidifying other development and third-party management projects in Florida, Georgia and South Carolina.

Remington adds in CALA. Dallas-based Remington Hospitality is strengthening its presence in the Caribbean and Latin America (CALA) with the addition of 177-key ONE | GT in George Town, Grand Cayman in the Cayman Islands. The ONE | GT is scheduled to open in November and will be the first luxury urban residential hotel on Grand Cayman.

Hon Kwok acquires in Japan. Hong Kong-based Hon Kwok Land Investment Co. Ltd. acquired the 101-key Ave Tennoji Osaka in Japan for JPY1.22 billion through its joint venture entity, The Bauhinia Hotels Group Japan 5, from Japan-based T&M Co. Ltd. The currently vacant property will undergo renovations and be repositioned into a boutique hotel and be leased to an independent hotel operator in Japan.