CT hotel, sold for $9 million, being remodeled into apartments

It’s the latest case of a mid-tier Connecticut hotel going away.

A Marriott Residence Inn in the lower Naugatuck Valley is being remodeled into The Shelton Grove, an upscale 96-unit apartment complex.

The hotel shut down in September, and sold for about $9.3 million in early October to a subsidiary of the Bluevale Capital real estate investment firm, according to town records .

Converting the 37-year-old hotel in Shelton into studio and two-bedroom apartments made sense because of the current market, said Jefferson Huang, managing director.

“Connecticut is in a housing crisis,” Huang said. “But the cost of building new has gone up substantially. With construction materials and labor, it’s really difficult to pencil in building from the ground up. This building has good bones.”