Auction of Midtown site to yield $10.2M sale
A court-ordered auction has resulted in the collective $22 million sale of a Murfreesboro Pike hotel and eight contiguous Midtown lots on a segment of which a Comfort Inn & Suites hotel had been planned.
The hotel, which sits on 4.4 acres and operates as a Best Western, sold for $11.8 million. In addition, the 1.27-acre Midtown lots are under contract for $10.2 million, according to a release.
The court-ordered auction — which arose from the dissolution of a business partnership between Neil Patel of Cookeville-based Image Hotel Management and Sanjay Patel of Nashville-based Hira Laxmi Investment — was managed by Hendersonville-based Real Look, which specializes in government- and bank-owned properties and judicially-mandated property sales.
“We received nearly three times more inquiries on this auction than average, and this high interest resulted in incredible prices on both properties,” Justin Ochs, Real Look’s vice president of national development, said in the release. “With their versatile zonings, the properties will be extremely valuable to the Nashville economy however they are developed.”
The Putnam County Chancery Court must confirm the sales. Other auction companies involved in the sale were James R. Cash Auctions and Amonett’s Eagle Auction & Realty of Cookeville.
Citing tax records, the release notes the Patels paid a bit more than $1 million for the Murfreesboro Pike hotel property in 2010 and $1.6 million for the Midtown lots in 2015. Based on the auction prices, the properties appreciated 1,045 percent and 536 percent, respectively.
Previously, the Patels eyed an 11-story Comfort Inn hotel for three parcels with addresses of 207, 215 and 217 14th Ave. N. overlooking downtown Nashville’s interstate loop. Hustler Hollywood sits on an adjacent site.
Five other lots, each fronting 15th Avenue North, also are were sold via the auction. Those lots have addresses of 216-224 15th. A different hotel had seemingly been planned for that site.
The effort to develop the 0.57-acre site with the Comfort Inn dates to August 2016. The Tennessean reported at the time that the $21 million hotel project was expected to be completed in mid-2018.
