A Scottsdale-based development company plans to buy the Holiday Inn SunSpree Resort and convert the aging property into condominiums.
Starpointe Properties has filed paperwork with Scottsdale to raze a portion of the resort on the Indian Bend Wash and build 213 privately owned condos with underground parking.
Starpointe is buying the property from Town King Enterprises for an undisclosed price.
Patricia Watts, a Starpointe partner, said the buyer and seller are restricted from speaking to news media while the sale is pending. The deal is expected to be finalized in the late spring, she said.
Originally built as a Radisson resort in 1977, the 16-acre property is tucked between a residential community and a public golf course at Hayden and Indian Bend roads.
The 200-room gray-brick resort is a privately operated franchise of Holiday Inn.
"It’s an older property, close to 30 years old, and just like all facilities, they reach a certain life span and you either have to reinvest or remodel and do something else," said Dave Roderique, Scottsdale’s economic vitality general manager.
"It was always kind of a marginal location. That property has never seemed to have done terribly well," he said.
Starpointe has a history of converting properties into condominium communities. In 2002, the company bought Siesta Suites, a downtown Scottsdale hotel. And in 2000, it purchased the Scottsdale Country Club.
The company has converted more than 1,000 Scottsdale apartments into condominiums.
According to city records, the project’s name would be Corriente by Starpointe, and the units would range in size from 1,100 to nearly 1,600 square feet.
There would be nine buildings on nine acres.
"Individual units will have open floor plans with oversized windows and balconies, fireplaces, 10-foot ceilings, and generous master suites," the developer’s application with the city states.
The project is tentatively scheduled for review by the Scottsdale Planning Commission on March 10.
The resort’s closure has been rumored in hospitality circles for several months, said Brent DeRaad, vice president of corporate communications for the Scottsdale Convention and Visitors Bureau.
"SunSpree has been part of our community for many years. We would definitely regret no longer having it part of our product mix," DeRaad said. "Its central location and setting overlooking the golf club really made it desirable to visitors. I also think that location is probably why the SunSpree would be such a valuable commodity as a potential condominium complex."