Chosen Hospitality Buys Two Palm Bay Hotels for $23.1M

Palm Bay, FL - A New England-based hotel investor, Chosen Hospitality, has acquired two neighboring hotels in Palm Bay. The company purchased the properties for a total of $23.1 million.The deal closed on January 12, 2026. It includes the Hyatt Place Melbourne Palm Bay and the Home2 Suites by Hilton Palm Bay Melbourne I-95.The DealPublic records show a slightly different price for the real estate. The deeds recorded in Brevard County show a combined price of $19.3 million. The extra $3.8 million in the reported price likely covers furniture, fixtures, and equipment.Here are the key details of the transaction:* Home2 Suites: Sold for $13.9 million.* Hyatt Place: Sold for $10.15 million.* Total Rooms: 193 rooms across both properties.* Average Price Per Room: Approximately $119,689.The PropertiesBoth hotels are relatively new. They opened in the spring of 2020 in the Palm Bay Executive Park. This location is right off Interstate 95 and near the Bass Pro Shops.The Hyatt Place has 106 rooms. The Home2 Suites has 87 rooms and offers extended-stay suites with kitchenettes.The Seller’s Story: A Distressed AssetThe seller was linked to AD1 Global Hospitality. This developer originally built the hotels with $26.8 million in financing back in 2019.AD1 Global filed for Chapter 11 bankruptcy in January 2023. This suggests the hotels were sold as distressed assets. Chosen Hospitality likely acquired them for less than they would cost to build today.Why Palm Bay? The Space Coast FactorThe acquisition highlights the strength of the Space Coast economy. The region is seeing major growth in several key sectors.These sectors include:* Aerospace and Defense* Commercial Space Launches* Technology* Cruise TourismPalm Bay itself is growing rapidly. The city’s population grew by over 3% between 2022 and 2023. The Milken Institute also ranked it as the 9th Best-Performing City in 2025.What It Means for Palm BayThis sale shows strong investor confidence in Palm Bay’s future. The purchase of two major hotels by an out-of-state firm is a significant event.It signals that the national market sees the Space Coast as a prime area for investment. The deal brings new ownership to key properties that serve both business and leisure travelers in the city. This is a public episode. If you would like to discuss this with other subscribers or get access to bonus episodes, visit www.thepalmbayer.com