Overview
HREC Investment Advisors (“HREC IA”) is pleased to offer, to qualified investors, the opportunity to acquire the fee simple interest in the 410-room InterContinental Saint Paul Riverfront (“Hotel” or “Property”), situated at 11 E Kellogg Blvd, St Paul, MN 55101.
The acquisition of the InterContinental St. Paul Riverfront presents a rare opportunity to own an iconic, luxury full-service hotel positioned directly along the Mississippi River in the heart of downtown St. Paul. The Property is exceptionally well-located to benefit from over $1 billion in planned and ongoing riverfront investment, including major public and private initiatives aimed at enhancing accessibility, expanding green space, and delivering new residential and mixed-use developments that will drive demand to the area. The building features luxury amenities, including expansive meeting and event space, a modern fitness center, and a high-end on-site restaurant that anchors the guest experience. Guestrooms at the InterContinental offer sweeping views of the river and skyline.
This investment presents a compelling value-add opportunity to implement a strategic repositioning through targeted capital improvements and modernization of the asset, aligning the property with evolving luxury standards. Enhancements to guestrooms, public spaces, and food and beverage offerings are expected to drive improved operating performance and increased RevPAR penetration within the competitive set. As the surrounding riverfront continues to transform into a premier destination, new ownership is well-positioned to capitalize on both the property’s irreplaceable location and the substantial investments reshaping the market.
Located in downtown St. Paul, the capital of Minnesota, the Hotel benefits from its proximity to major corporate headquarters, significant higher education, healthcare, and leisure. This broad-based demand foundation provides a stable hotel occupancy base for hospitality properties in the St. Paul market. With this strong demand base combined with notable new developments and a world-renowned brand, the acquisition of the InterContinental enables an investor to own an iconic piece of the St. Paul riverfront.
Investment Highlights
Iconic Asset & Brand
As the flagship luxury brand of IHG Hotels & Resorts, InterContinental has established a longstanding reputation for delivering high-end accommodations in prime gateway cities and resort destinations around the world. For owners, affiliation with InterContinental signals a level of quality and recognition that enhances market positioning, attracts a global customer base, and supports premium pricing power.
Substantial Nearby Investments
More than $1 billion in public and private investment is planned along the riverfront, with projects centered on new parks, mixed-use development, and improved pedestrian access. A new owner will benefit from the investments coming to the area as the riverfront becomes a more attractive destination for residents and visitors. The hotel is positioned to capture higher demand from leisure, corporate, and group travelers.
Broad-Based Demand Foundation
As Minnesota's state capital, St. Paul benefits from a reliable foundation of government-related travel, reinforced by steady weekday corporate activity from major employers and regional headquarters. Three of the city's largest corporate tenants — Ecolab, Securian Financial, and Travelers — have each reaffirmed their commitment to a downtown presence, anchoring the local business travel base. This core demand is further supported by the region's prominent healthcare institutions and universities, which drive consistent visitation, alongside group, convention, cultural, and leisure segments that collectively round out a well-balanced demand profile.
High-Barrier to Entry Location
Sites along the Mississippi River are limited, as much of the riverfront is already built out or restricted. At the same time, higher construction and labor costs can make new hotel development harder to justify. As a result, existing hotels in strong locations benefit from limited new competition, giving owners a clear advantage, supporting long-term value.
Diversified Asset with Multiple Revenue Streams
The Hotel has a diverse set of supplemental revenue streams from its on-site restaurant, +/-40,000 SF of rentable event space, and available paid parking. New ownership will also have the opportunity to extend the Property’s current cell tower lease.
No New Supply in the City
Currently, there are zero hotels under construction in St. Paul.
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