Proper sale

New owner checks in at highly acclaimed luxury hotel in downtown Austin

New owner checks in at acclaimed luxury hotel in downtown Austin

Austin Proper Hotel & Residences
The Austin Proper sale means the Colorado firm now owns two hotels in "one of the hottest hospitality markets in the country."   Austin Proper Hotel & Residences

McWhinney, the Loveland, Colorado-based company behind the Hyatt Centric hotel under construction in downtown Austin, now owns another prime hotel property in the Capital City.

McWhinney, a real estate investor, developer, and manager, said September 27 that it purchased Austin Proper Hotel & Residences in Austin’s Second Street District. The sale price wasn’t disclosed. The seller was Goldman Sachs Asset Management, one of the world’s biggest investment managers.

Developed by the Santa Monica, California-based Kor Group, the 32-story Austin Proper opened in December 2019. It features 244 guest rooms, 98 condos, and more than 14,000 square feet of meeting and event space. It already has collected accolades from Conde Nast Traveler.

Highlights of Austin Proper include:

  • Fifth-floor pool.
  • Full-service Verbena spa.
  • Fitness center equipped with Peloton bikes.
  • Peacock Mediterranean Grill & Bar, The Mockingbird sidewalk café, poolside restaurant La Piscina, and Goldie’s Sunken Bar. McGuire Moorman Hospitality operates these four spots.

Santa Monica-based Proper Hospitality will keep managing the property.

“This new eclectic hotel has already become a top leisure destination for Austin, and we look forward to welcoming more guests while continuing to deliver strong results at this fantastic luxury property,” Dave Johnstone, executive vice president and chief investment officer for hospitality at McWhinney, says in a news release.

As McWhinney absorbs Austin Proper into its portfolio, it continues construction on its 31-floor, 246-room Hyatt Centric Austin at Eighth Street and Congress Avenue. The hotel is expected to open in early 2022. 

“The purchase of Austin Proper is a perfect complement to the Hyatt Centric hotel that will open in 2022, giving McWhinney and our investors two of the premier hotel properties in one of the hottest hospitality markets in the country,” says Ray Pittman, president and CEO of McWhinney.