LAS VEGAS – The Siegel Group Nevada, Inc., a real estate investment and management company, announced today that it had acquired two former Budgetel extended stay hotels in Birmingham, Alabama. These acquisitions increase the number of Siegel Suites® and Siegel Select® properties throughout the United States to 58 and mark the brand’s second and third locations in the Alabama market. These locations are in addition to the company’s sizable presence throughout Nevada, Arizona, Texas, New Mexico, Louisiana, Tennessee, Mississippi, Alabama, South Carolina and Ohio.
“We opened our first Siegel Select location in Montgomery, AL just under two years ago which has outperformed our expectations. When the opportunity to acquire these two off-market properties was presented, we knew immediately that demand for our product would be overwhelming in the Birmingham market.”
The Siegel Group, which operates a sizable commercial real estate portfolio consisting of apartments, extended-stay hotels, flexible-stay apartments, hotels, retail, office, and development projects, will be operating both properties under its popular Siegel Select® brand which provide the option of either short-term daily stays or longer term extended-stay accommodations with the ability to add amenities such as housekeeping and linen service. Built in 1992 and 1995, the two property portfolio totals approximately 85,000 square feet and is comprised of 252 units all containing full kitchenettes with occupancy averaging between 75-80%. Prior to takeover the properties experienced management as well as deferred maintenance issues that will be immediately addressed. In converting each of the locations to its Siegel Select brand, The Siegel Group will be making a number of improvements to both properties which include installing high-speed Wi-Fi, adding full size appliances, flat screen televisions, new flooring as well as upgrading the existing furniture packages and guest laundry facilities. Additionally, the exterior of the property will be painted along with other cosmetic upgrades including branding and signage that are characteristic of the brand.
The properties, which will be renamed Siegel Select Birmingham and Siegel Select Birmingham II are located approximately 15 miles from the downtown area. Birmingham, which is the most populous state in Alabama, has consistently been rated one of America’s best places to work due to its strong local economy, competitive wages and a relatively low cost of living. The city is home to the University of Alabama at Birmingham and Regions Financial Corporation which are the areas largest employers. Additionally, a number of large corporations have sizable operations in Birmingham further adding to the city’s strong economic standing.
Stephen Siegel, President of The Siegel Group stated: “We opened our first Siegel Select location in Montgomery, AL just under two years ago which has outperformed our expectations. When the opportunity to acquire these two off-market properties was presented, we knew immediately that demand for our product would be overwhelming in the Birmingham market.”
The Siegel Group is actively looking to acquire value-added properties in all asset classes throughout the United States and is able to move quickly and close transactions without any financing contingencies. If you have a property you would like to submit for consideration, please email properties@siegelcompanies.com.
