Harp Group buys Tinley Park Holiday Inn for $22M

Peter Dumon and the Tinley Park Holiday Inn

Harp Group bought the Tinley Park Holiday Inn with plans for a renovation and rebrand.

The Westmont-based firm acquired the hotel at 18501 Harlem Avenue in Tinley Park for $22 million, according to Cook County property records. Selling the property was Reva Stillman, owner of Mid Continent Development who controlled a 68 percent stake in the hotel, and Indiana-based Coventry Hospitality, which owned 32 percent of the hotel.

A $14.25 million acquisition loan was provided by Walker & Dunlop, records show. The deal closed in mid-November.

Harp Group will receive up to $4 million in property tax abatements after a July vote by the village board to aid the deal, according to the Daily Southtown. A new 1-percent increase in the local hotel tax will also help subsidize the deal. The property’s annual tax bill is $1.6 million, more than Tinley Park’s eight other hotels combined, the paper reports.

Harp Group plans to invest as much as $9 million in renovation to the hotel before switching to another brand, possibly Sheraton, according to the Daily Southtown. A representative for the company did not immediately reply to a request for comment.

The hotel is connected to the Tinley Park Convention Center, and Harp Group has inked a deal to take over management of the center from its previous owners, according to the Daily Southtown.

The 202-room hotel is located just off of I-80.

Even with a multiplying field of competitors, Chicago-are hotels are staying busy. The region’s occupancy rate rose by 10 basis points to 68.9 percent during the 12-month period ending in June.

In March, the Hilton Hotel near O’Hare Airport was sold to Hong Kong-based Junson Capital for $37 million. In August, the real estate arm of Prudential Insurance listed two Rosemont hotels, deals that could be the biggest hotel sales in the area in years.

Recommend0 recommendationsPublished in Real Estate

Share this story with your network.

Share on facebook
Share on twitter
Share on linkedin
Share on email
Share on print


Recent Stories

Del Marie: locked down, but not out

The rapper-dancer-performance poet rolls with the pandemic punches. 2020 started off so well. January and February were great months for 27-year-old rapper, dancer, and performance

Read More »

Speak with a local expert now.

Learn more about this recent happening by speaking with an agent.