New Ownership Visits Two Fayetteville Hotels (NWA Real Deals)

Chet Patel, president of Pinnacle Hotel Group, plans to refit the Fairfield Inn at 720 E. Millsap Road in Fayetteville into a La Quinta Inn & Suites by May 1. | (Photo of Patel by Jason Burt)

A pair of Fayetteville hotels changed hands in separate million-dollar transactions.

Northwest Arkansas Hospitality & Lodging LLC, a subsidiary of Pinnacle Hotel Group of Little Rock, bought the Fairfield Inn at 720 E. Millsap Road for slightly more than $1.6 million.

Pinnacle plans to refit the hotel as a La Quinta Inn & Suites and have it reopen for business by May 1, said Chet Patel, president of Pinnacle Hotel Group.

Centennial Bank of Conway provided a loan of nearly $2.5 million to assist in the acquisition and remodel.

“This is Pinnacle’s first property with the La Quinta brand, and we are excited about this new relationship,” Pinnacle Director of Development Shawn Govind said in a statement on the group’s website.

Pinnacle, through Northwest Arkansas Hospitality & Lodging LLC, also owns the Comfort Inn at 1234 Steamboat Drive in Fayetteville.

Pinnacle acquired the site in 2001 and recently did a renovation on the hotel.

Centennial Bank provided a loan of slightly more than $3.6 million for that work.

Pinnacle is the third-party management team for the Sleep Inn, which is located next to the Fairfield Inn at 728 Millsap Road.

The hotel was purchased by HSB Shiv LLC of Fayetteville, which lists Rakesh “Rocky” Patel as the manager.

Chet Patel said Hema Patel, Rocky’s wife, purchased the hotel, and Rocky Patel is part of the ownership group at Pinnacle.

HSB paid $2.1 million for the Sleep Inn. Centennial Bank provided a loan of slightly more than $1.8 million. TMI Hospitality of Fargo, North Dakota sold both hotels.

TMI sold the Fairfield through its Midwest Heritage Inn of Fayetteville Inc. subsidiary and sold the Sleep Inn through its S.I. Heritage Inn of Fayetteville Inc. subsidiary.

Chet Patel said Pinnacle is currently in various stages of development of hotels in central Arkansas so he doesn’t foresee any more acquisitions in northwest Arkansas.

“The market has recovered; it is a blessing,” Patel said. “This is going to keep us busy for a while.”

Concrete Company Office

Concrete Solutions USA of Fayetteville, a company that specializes in surface restorations, bought a new office location on Gregg Avenue.

Joe Gray, co-founder of Concrete Solutions, paid $750,000 for a 3.73-acre property at 2373 N. Gregg Ave. through his JRG Holdings LLC.

He purchased the property, which includes a 15,870-SF building, from Service Supply Co. Inc., which has been at the location since 1966.

David Erstine of CBRE Northwest Arkansas represented Gray in the acquisition.

IberiaBank of Lafayette, Louisiana, provided a $600,000 loan to assist in the purchase.

Apartment Purchase

A Texas company bought three Springdale apartments for $6.5 million.

C&W Ventures Management Co. of Midland bought Springdale Estates and the Crutcher and Powell apartments from Hamilton Points Investments of Connecticut.

C&W, run by Jason Cannon and James Woodcock, used the LLC subsidiaries C&W Springdale Apartments, C&W Crutcher Apartments and C&W Powell Apartments for the acquisitions.

Hamilton Points sold each apartment through a subsidiary LLC. It had acquired the properties from a court-appointed receiver in 2011.

C&W paid slightly more than $2.6 million for Springdale Estates, nearly $2.8 for Crutcher and slightly more than $1 million for Powell.

Each purchase was assisted by loans from Arbor Commercial Funding LLC of Uniondale, New York, although the exact amount was blacked out on two of three filings.

Arbor lent $900,000 for the Powell purchase. The amounts for the other two were for at least $2 million with the remaining numbers redacted.

Cannon also purchased a 1,200-SF house on East Meadow Avenue adjacent to the Springdale Estates.

He then transferred the home to Narrabeen Properties LP. Cannon is the director of Narrabeen Investments LLC.