The Hotel Pattee, which in four years has gone from locked doors and shuttered windows to a highly profitable venture under the ownership and operation of Denise and Jay Hartz of Perry, is now for sale, the Hartzes announced Wednesday.
Four years ago, the Hartzes relocated their family to Perry from St. Louis, Mo., in order to purchase and reopen the historic 40-room hotel. Since then they have been the full-time operators of the 100-year-old landmark.
Thanks to their customers, loyal supporters and solid team of employees, the hotel has been profitable since its first full year under the Hartzes’ ownership, they said in a prepared statement.
The Hartzes said they have now decided to slow their pace due to some health issues.
“We need to step aside and take care of ourselves right now,” the statement said, “as we devote our attention to other dreams and aspirations within our own family. We want to assure everybody that there is nothing else happening to cause the sale of the Hotel Pattee. We have no legal or financial issues facing us, either personally or within our business.”
The Hotel Pattee is “the heart and soul of the downtown area,” said Dan Spellman of Perry, a staunch supporter of the Hatzes. “Jay and Denise have worked very hard to make the Hotel Pattee very successful and to keep Perry on the map. They’ve invested 100 percent of their time and energy the last four years in Perry and making the hotel the shining success it is.”
The Hartzes work endless hours each week, serving guests and those who frequent the Hotel Pattee. Their enthusiasm and passion for the property is obvious, contagious and one of the reasons the business is prospering today.
“The community of Perry and the region at large have been so unbelievably supportive over the last four years,” said Jay. “Our local investment group has been and continues to be a true blessing. We ask that folks continue to support the hotel during and after the sale and to please welcome the new owners with open arms, when that time comes. The Hotel Pattee is not only a crucial part of Perry’s economy and quality of life, but it is also a historic gem here in central Iowa and beyond.”
Denise echoed her husband’s positive words: “The hotel is truly a gift,” she said, “and we have been so blessed to have been in Perry for the last four years. Our number one goal is to see that the hotel continue to thrive and to support our team members during this transition.”
The Hartzes said there is no guaranteed time frame within which a new buyer may come forward and take over the property.
“It could be three months, or it could take two years,” Jay said. “We will be here until the sale is complete, and we may even negotiate sticking around for a while to assist a new owner with training.”
The historic Hotel Pattee, originally built in 1913, is on the National Register of Historic Places. It underwent a $14 million renovation in the late 1990s and now boasts a state of the art bowling alley, a restaurant and lounge, a full service spa and fitness center, four meeting and events spaces and 40 individually appointed guest accommodations.
The Hartzes and their team’s ceaseless labor led to gross sales in 2016 of more than $2 million, an occupancy rate of 52 percent and an average daily rate of $127.
The asking price of the hotel is $2.5 million.
“The market mix is diverse” for the Hotel Pattee, according to the property listing. “From leisure travelers, corporate business meetings, weddings, cyclists and state association meetings, this business model provides a ‘balanced portfolio’ of market opportunities providing a stable cash flow throughout the year.”
Spellman said the ideal buyer for the Hotel Pattee would be someone who would “understand and be loyal to the tradition of the hotel and to what Mrs. Ahmanson had in mind and would continue that legacy,” someone like Jay and Denise Hartz are themselves.
To learn more about the property, visit its listing on the Inn Partners website.