San Diego-based Trigild, a real estate services firm specializing in property/asset management and fiduciary services, today announced the $21 million receivership sale of two hotel properties – the 118-room Holiday Inn Express at 27513 Championship Way and the 120-room Best Western at 27413 Wayne Mills Place -- in Valencia, Calif.
According to Trigild CEO Bill Hoffman, on November 22, 2013, Trigild was appointed receiver for five LLCs that owned five California hotels – the Best Western Valencia, Holiday Inn Express Valencia, a Courtyard by Marriott in San Luis Obispo and a Courtyard by Marriott and a Marriott Towneplace Suites in Thousand Oaks – all held in a family trust. “As receiver, Trigild obtained court approval to close the sale of the Best Western and Holiday Inn Express properties, despite the objection of a beneficiary of the trust,” Hoffman said. “Trigild also subsequently received court approval to move forward with the sales of the three Marriott properties currently under contract.”
The expeditious sale was due to multiple factors, among them significant financial gains Trigild was able to make throughout the receivership,” Hoffman said. “During the eight months that Trigild operated the two hotels, the Best Western saw a 17 percent revenue gain and 39 percent net operating profit gain, while the Holiday Inn Express saw a revenue gain of 10 percent and net operating income gain of eight percent,” he said. “Both hotels led the market in revenue per available room (RevPAR), according to data from Smith Travel Research (STR) – results that were accomplished by focusing on revenue management, guest satisfaction and improved expense management.”
This latest sale demonstrates the many benefits of receivership sales, said Hoffman. “Receivership sales often result in faster results and a higher recovery, but they can be complicated and require an extensive understanding of the court system,” he said. “Trigild has a successful track record of sales through receivership, which allow properties to be sold prior to foreclosure.”
The broker on the sale was Alan Reay of Atlas Hospitality Group and receiver’s counsel was Fernando Landa of Crosbie Gliner Schiffman Southard & Swanson LLP. Trigild also served as the management company.
Headquartered in San Diego with offices throughout the country, Trigild has nearly 40 years of property management and fiduciary expertise, with a focus on managing and maximizing value for assets in an array of industries, including hospitality, commercial real estate, multifamily and more. Trigild has a full service national operating platform providing institutional quality services to private real estate investors and financial institutions. For information, visit www.trigild.com or www.trigild.com.