VIRGINIA BEACH — Suburban Capital, Inc., a privately held commercial real estate company headquartered in Virginia Beach since 2000, on Tuesday announced plans to build a 92,000-square-foot Hyatt Place at Pembroke Park at 281 Independence Blvd.
Suburban Capital is making a capital investment of $26.3 million in real estate; and furniture, fixtures and equipment. The Virginia Beach Development Authority has approved an Economic Development Investment Program Grant in the amount of $200,000 based on the company’s investment.
Funds will be used for enhanced streetscape improvements that are consistent with Town Center that otherwise would not be required outside of the Central Business District.
The company owns and operates more than 2.5 million square feet of commercial real estate in six states throughout the Southeast, according to a news release from the city.
Suburban Capital’s portfolio is comprised of office, retail, hotel and industrial properties, as well as Happy Boxes, a proprietary self-storage brand with more than 6,000 units.
“This announcement of Hyatt Place continues to validate Town Center and our Central Business District as an important business location for new-to-market businesses,” said Virginia Beach Economic Development Director Warren D. Harris. “Like the recent location decisions by Nordstrom Rack, Pottery Barn, Williams-Sonoma and Wegmans, Hyatt Place adds to our vision for the Pembroke Strategic Growth Area plan as a regional business hub.”
Hyatt Place at Pembroke Park will have 127 rooms, and completion is scheduled for April 2019. The hotel will create 27 new jobs in Virginia Beach with average annual salaries of $36,500, Harris said.
Suburban Capital recently acquired and operates three oceanfront hotels in Virginia Beach and currently has a Marriott Autograph hotel under development and scheduled to open next spring in Norfolk.
The company is an approved operator for the following top-tier hotel franchise companies: Marriott International, Hilton Worldwide, Starwood Hotels, Choice Hotels International, Hyatt Hotels and Wyndham Hotels and Resorts.
“Hyatt Place caters to the business traveler, and we look forward to working with the national brand to deliver this project to Virginia Beach,” said Chris Perry, CEO of Suburban Capital.
