Georgia-based Ascent Hospitality has purchased The Chattanoogan Hotel from the city of Chattanooga for $27 million.
The sale of the building will generate an estimated savings of $23 million over the remaining life of the bonds. This includes more than $280,000 in annual property taxes revenues for the city.
“The Chattanoogan Hotel is one of our city’s most important assets, and Ascent Hospitality is the ideal partner to make every aspect of it even better,” Chattanooga Mayor Andy Berke says. “We have structured a transaction that will provide immense benefit to the taxpaying public of Chattanooga, while enhancing the experience to the many thousands of business and recreational travelers that visit this hotel every year.”
The Chattanoogan Hotel opened in 2001 and has helped spur the revitalization of the Southside neighborhood.
“Ascent Hospitality is looking forward to making a substantial commitment to the Chattanooga market and is proud to add the Chattanoogan Hotel to our portfolio,” says John Tampa, president and co-founder of Ascent Hospitality.
“Chattanooga is one of the most dynamic and attractive metro areas in the Southeast. As demand for premium lodging continues to grow here, Ascent is looking forward to making substantial investments that will offer our guests an outstanding experience.
“This has been a time-consuming and complex endeavor, but we’re excited to be part of this great city.”
Source: City of Chattanooga