Case Study: HRI Properties
Miller & Rhoads
HRI Properties’ renovation of the Miller & Rhoads Building transformed a vacant downtown department store into 111 apartments, 250 hotel rooms, 17,713 square feet of meeting space, and approximately 6,728 square feet of retail and restaurant space.
HRI Properties partnered with a major insurance company to acquire a vacant former department store in downtown Richmond. This included the acquisition of an operating hotel and apartments at a significant discount to replacement costs in an off-market transaction.
In 2015, this property underwent a major renovation to rebrand the Hilton Garden Inn hotel to a full-service Hilton by converting vacant commercial space into the required amount of meeting space by Hilton’s standards.
The additional vacant space has been repurposed into additional/diverse cash flow generating spaces.
To complete this project, HRI Properties utilized federal, state and new markets tax credits to lower the cash equity component. The property was successfully rebranded from a Hilton Garden Inn to a full-service Hilton which allowed the hotel to better compete for higher rated group business.
A long-term lease was secured with a preeminent restaurant, which relocated into the additional vacant retail space.