Phoenix-based Oxygen Hospitality will not only own and remodel the property, it will also manage it
Ahead of major developments coming to midtown Phoenix near the Central Avenue corridor, a hospitality company has acquired the Wyndham Garden Phoenix Midtown and is planning major renovations for the property.
Phoenix-based Oxygen Hospitality Group Inc., an owner-operator hospitality management company, has entered the Valley’s competitive marketplace with the acquisition of the six-story, 160-room property at 3600 N. Second Ave., just north of Osborn Road in Phoenix.
Oxygen Hospitality did not disclose the price of the acquisition but said it has plans for a multimillion-dollar renovation that would elevate the property to a full-service hotel with modern conveniences. Oxygen Hospitality also will take over as the hotel’s management company.
In a statement, Yaron Ashkenazi, Oxygen Hospitality CEO, said the hotel offers “an incredible turnaround opportunity.”
Oxygen Hospitality formed in 2018 and plans to make its mark by repositioning underperforming hotels and resorts and by infusing technology into the real estate. One of the company’s mottos is “Buy it, revive it and manage it.”
Unlike the previous owners of the Wyndham Garden, Oxygen Hospitality expects it can maximize profitability with hotel operations and it has the necessary funds to renovate and upgrade the property, a company spokeswoman said.
Oxygen Hospitality sees now as a good time to invest in the midtown Phoenix market, as other major projects are happening in that area.
“This Phoenix-headquartered company’s commitment to revitalize the Wyndham Garden Midtown is a necessary addition to meet the growing demand for accommodations from visitors to the city as well as to serve the needs of one of the largest health care workforce clusters in the Western U.S.,” Phoenix Community and Economic Development Director Christine Mackay said in a statement. “The hotel’s proximity to Dignity Health, the new Creighton University Medical School and the revitalized Park Central complex is a statement of confidence in the economic potential in this area of the city.”
Earlier this month, a high-profile midtown Phoenix property, the Clarendon Hotel was purchased for $19.5 million.
This is the second hotel purchased by Oxygen Hospitality during the past year and the first in the Phoenix market. The company’s first acquisition was in Palm Springs, California. In May, one of the company’s founders told the Phoenix Business Journal it had identified 10 properties to it was considering for acquisition.
“The Wyndham Garden Midtown Phoenix marks a pivotal point in the portfolio expansion of Oxygen Hospitality right in our corporate backyard,” Ashkenazi said.