Getahn Ward

USA TODAY NETWORK – Tennessee

Buyer HRI Properties bills itself as a national leader in the adaptive reuse of historic structures.

The hotel will also have 4,000 square feet of meeting space, a grab-and-go market concept, a destination bar and lobby lounge and a rooftop pool and bar.

The historic James Robertson Apartments building in downtown Nashville has a new owner that plans to convert it into a 190-room boutique lifestyle-branded hotel.

New Orleans-based real estate development company HRI Properties paid $18.2 million for the 12-story, art deco-style building that's listed on the National Register of Historic Places.

For the Nashville-based seller, real estate fund manager Covenant Capital Group, that price amounts to a nearly doubling of the $10.2 million that it paid for the building and adjacent parking lots just over a year ago. That transaction made headlines because the mostly elderly and disabled residents had to leave the subsidized housing apartments after that last ownership change.

HRI plans to spend roughly $65 million to convert the former James Robertson Apartments at 118 Seventh Ave. N. into a hotel, which the company will own and operate. The acquisition is the first in Nashville for HRI, which bills itself as a national leader in the adaptive reuse of historic structures.

Michael Coolidge, HRI's chief investment officer, cited among appeals that drove the acquisition Nashville's strong hotel market, including growth in occupancy and average daily room rates.

Proximity of the former James Robertson Apartments to major downtown demand generators such as Music City Center, Bridgestone Arena, the Country Music Hall of Fame and Museum and corporate office buildings was also a factor.

"There are very few historic buildings of that size located within Nashville and we saw it as a unique opportunity to recreate history by returning the building to its original use as a hotel," Coolidge said.

Construction work should begin in May with the building expected to reopen as a hotel in July 2017.

HRI expects within a month to wrap up negotiations with a national hotel branding company, which would determine what flag the hotel will fly, Coolidge said.

In addition to the roughly 190 guest rooms, the hotel will have 4,000 square feet of meeting space, a grab-and-go market concept, a destination bar and lobby lounge and a rooftop pool and bar.

Last of James Robertson residents move out

Locally based ESa (Earl Swensson Associates) is the architect for the project.

In addition to 118 Seventh Ave. N., HRI's purchase from Covenant Capital included parcels at 112 and 114 Seventh Ave. N. Upon buying the property just over a year ago, Covenant said it was considering options such as returning the former James Robertson Apartments property to use as a hotel or as a first-class apartment building.

Currently, HRI owns and manages about 24 hotels nationwide. Locally, Covenant Capital's portfolio includes downtown's former Metro Manor apartments which was rebranded as The 500 Fifth.

Reach Getahn Ward at 615-726-5968 and on Twitter @getahn.