Investra JV Grabs Major Hotel Portfolio
- Apr 17, 2018
Hospitality Ventures Management Group and Investra Capital Group have added to their joint venture holdings. The partners recently closed the purchase of a 1,465-key portfolio of hotels operating under various Marriott and Hyatt brands. HVMG will act as operator of the 12 hotels on behalf of the joint venture.
The collection of assets, which consists of a dozen select-service hotels, spans five states in the Southeast, Southwest and Midwest. “As we grow our footprint into the U.S., our acquisition philosophy aligns with HVMG’s, as we both remain focused on assets in strong secondary and tertiary markets flanked by strong corporate, government, healthcare and university demand generators,” Mobeen Jassat, CEO of Investra Capital, said in a prepared statement.
One-third of the portfolio is located in Texas and includes Courtyard Austin University and Fairfield Inn & Suites Austin University, in addition to suburban Dallas’ Courtyard Dallas Addison Midway and Hyatt House Dallas Richardson. Another three hotels are sited in metropolitan Atlanta, Courtyard Atlanta Marietta I-75 North, Courtyard Atlanta Norcross Peachtree Corners and Courtyard Atlanta Marietta Windy Hill/Ballpark. The group also includes Courtyard Grand Rapids Airport and Courtyard Detroit Southfield in Michigan, as well as Indiana’s Fairfield Inn & Suites Indianapolis Airport and Residence Inn Indianapolis Airport. Completing the group is Courtyard Cleveland Beachwood in Ohio.
Beyond the primaries
HVMG and Investra’s strategy of focusing their acquisition efforts beyond the top U.S. hotel markets is a timely one. “Because they lagged during the initial stages of the CRE market recovery, economy properties, along with those in secondary or tertiary markets, are now projected to achieve the greatest gains in ADR and revenue per available room,” according to a 2018 forecast report by a team including Deloitte Development and the National Association of Realtors.
HVMG and Investra’s recent acquisition of the group of 12 hotels comes on the heels of the joint venture’s purchase of an Arkansas hotel portfolio. In February, the partners acquired the 78-room TownePlace Suites by Marriott Bentonville Rogers and the 130-room Candlewood Suites Rogers/Bentonville, both located in Bentonville.
Image courtesy of Hyatt