ONE MONTH AFTER sealing its $1.95 billion acquisition of La Quinta Inn & Suites and spinning off into its own pure-play hotel company, Wyndham Hotels & Resorts Inc. announced a two-hotel project in Orlando, Florida, that includes La Quinta’s Del Sol prototype.
Riviera Point Development Co. of Miami plans to construct a La Quinta Inn & Suites and a Tryp by Wyndham on a 3.5-acre site 11551 International Drive. La Quinta is a midscale to upper-midscale limited-service brand and Tryp is an upper mid-scale, full-service product.
Rodrigo Azpurua is president and CEO of Riviera Point, which generates investment capital for commercial real estate development via private equity and EB5, a federal visa program for foreigners seeking to migrate to the U.S.
Riviera Point acquired the land in 2016 for $3.8 million with the intention of constructing two 100-room hotels, one of them a La Quinta, according to the Orlando Business Journal. The flag for the second hotel remained undecided until recently.
Construction of the La Quinta Inns & Suites Seaworld Orlando is already underway. It is expected to open next year. The Tryp by Wyndham Seaworld Orlando will open in 2020. Riviera Point held a groundbreaking ceremony for both hotels on June 27.
“Expanding our portfolio of offerings with these two brands in particular – our trusted La Quinta name and cosmopolitan Tryp by Wyndham flag – delivers two distinct, high-quality experiences in a top destination flowing with a diverse network of holidaymakers and business travelers from around the world,” said Chip Ohlsson, executive vice president and chief development officer, North America, at Wyndham Hotels & Resorts.
The four-story La Quinta hotel will feature 101 modern guest rooms; a comfortable and multifunctional great room for guests to gather, relax, or work; a fully equipped fitness center; a pool; and approximately 750 square feet of meeting space.
It will be the ninth La Quinta hotel in Orlando but the first in the market to feature the Del Sol prototype.
“La Quinta has long been a highly desirable, fast-growing brand that both hotel developers and travelers know and trust,” said Raj Trivedi, president of the La Quinta brand at Wyndham Hotels & Resorts. “To continue this growth in such a viable market with our efficient, guest-focused Del Sol design – and to do so under the umbrella of a leading hospitality company in Wyndham – is a significant milestone as we focus our efforts on planting the La Quinta flag in new destinations around the country.”
Slated to open in 2020, the new Tryp by Wyndham in Orlando becomes the fourth hotel in Florida for the brand, which targets the urban traveler. The 98-room hotel will offer the brand’s hallmark social lobby, library space and small meeting room; a bar and restaurant featuring Tryp’s signature tapas, or small plates, service; a gym; and an outdoor pool.
The two-hotel project is estimated to cost $32 million, according to reports. The cost of the development is being offset by EB5 investment funds, a financing tool that gives a Green Card and entry into the U.S. to foreigners who invest $500,000 into a qualified economic development project.
Riviera Point has channeled $6 million in EB5 investment funds into the La Quinta project, according to its website. Another $3 million has come from private equity. Construction of the hotel is already underway.
Riviera Point will also invest $6 million in EB5 capital into the Tryp hotel.
Wyndham Hotels & Resorts is a former subsidiary of the now-defunct Wyndham Worldwide, which split into two companies on May 31. Wyndham closed on the La Quinta deal on May 30. La Quinta Holdings Inc. also split into two, with the franchise and management business going to Wyndham and the owned assets being spun off into a REIT named CorePoint Lodging. All companies are publicly traded.