A 103-room hotel in south Rochester was purchased for $12.5 million last week, the second largest Med City real estate deal of the year so far.
Sahaj Hotel Group, LLC of Rochester bought the Hampton Inn South hotel, at 1755 S. Broadway, on Thursday.
Sahaj, led by hotelier Minesh Patel, who is also invested in other Rochester and Twin Cities properties, purchased the 25-year-old hotel from a Beverly Hills, Calif., corporation unimaginatively called 1755 S. Broadway LLC.
The California company acquired the hotel in 2015 for $7.23 million.
Olmsted County estimates the total market value of the hotel at $5.71 million.
This deal is the second largest of 2019. The top real estate sale of the year is the 273,800-square-foot Mills Fleet Farm store at 4891 Maine Ave. SE and its C-store station, which sold for $25.5 million on April 15.
While more names of future tenants of the Med City’s new One Discovery Square complex are popping up, it’s unknown if the 89,000-square-foot building is completely leased or not.
Minneapolis-based M.A. Mortenson built the One Discovery Square center on land owned by Mayo Clinic in the Destination Medical Center’s Discovery Square subdistrict.
Royal Philips, an Amsterdam-based health care giant, confirmed last week that it plans to open a Med City office in One Discovery Square.
Given those tenants and others previously announced, is the new center touted to bring new scientific businesses and jobs to Rochester full or almost full?
The official answer is not yet.
“We can confirm that Mayo Clinic, the University of Minnesota Rochester, Epic Systems, Café Steam, and Philips are all tenants of One Discovery Square. We cannot, however, offer information on the leased percentage of the building,” wrote Mortenson’s Director of Real Estate Development Jeremy Jacobs in an email response to questions this week. “We are actively engaged in further leasing discussions and hope to share more information prior to our grand opening event in September.”