With our strategic multifamily and hospitality partners we are able to offer private investment opportunities at attractive risk adjusted returns.Our hospitality investments range from the acquisition of value-add hotel properties to the construction of new limited service hotels. Our apartment investments target value-add B properties primarily located in Colorado, Texas and Florida.
With our strategic multifamily and hospitality partners we are able to offer private investment opportunities at attractive risk adjusted returns.
Our hospitality investments range from the acquisition of value-add hotel properties to the construction of new limited service hotels. We have a 30-year relationship with our hotel sponsor and have completed in excess of $250 million of transactions. Our hotel partner currently operates a portfolio of 65 hotel properties (15,000 rooms) valued in excess of $5 billion. They are an approved franchisee of Hilton, Hyatt, IHG, Marriott, Wyndam, and Starwood.
InterContinental Kansas City at the Plaza - Kansas City, MO
Situated in Kansas City, also known as the gateway to the west, the InterContinental Kansas City at the Plaza is home to 366 luxury guest rooms, 29,000 square feet of meeting and event space which includes a rooftop ballroom, the elegant Oak Room Restaurant and Oak Bar, a private club lounge, an outdoor pool, an on-site florist, a business center and a gift shop, all spread out over 12 beautiful stories. For 22 years, the Hotel has been the recipient of the prestigious AAA Four Diamond Award and has long been a premier wedding destination. Ideally located, the Hotel is just steps away from Country Club Plaza, an outdoor shopping, dining and entertainment district and is also close to the Kansas City Convention Center and Kansas City International Airport.
As the Hotel continues to see a steady increase in RevPAR, it is evident that Kansas City's popularity is supported with the recent relocation of the H&R Block headquarters to the city, the 2011 opening of the Kauffman Center for the Performing Arts, an expansion of the Kansas City Convention Center and a new FedEx distribution center. The renovation of the Hotel will focus on all areas of the property with a strong focus on the guestrooms. Investor returns are anticipated to range in the low-to-mid teens over the five-year projection period.
Doubletree Hotel, Commerce - Los Angeles, CA
Located in East Los Angeles and only a mere 15 minutes to downtown, the seven-story Doubletree Hotel - Commerce boasts 201 spacious guest rooms, 37 lavish suites and more than 6,000 square feet of private function space in addition to the swanky TerraNova Restaurant and Lounge, outdoor heated swimming pool and spa, and fitness center. It is ideally situated adjacent to the popular Citadel Outlets which boasts 700,000 square feet of mixed-use space and more than 130 brand name stores as well as the Commerce Casino, home to one of the largest card rooms in the world. With easy access to major freeways including Interstate 5, large corporations have taken up space in the town of Commerce further establishing the area as an ideal location for business and leisure travelers.
Ending in July 2015, the Doubletree exhibited a strong 12 month performance maintaining an average of 89% occupancy at a standard rate of $145 per night. In addition to a RevPAR of $129, the Hotel yielded a net operating income of nearly $2.95 million. TPG anticipates that the Hotel will deliver strong occupancy levels and increased rate growth as a result of the property improvement plan which includes guest room enhancements and new management.
Hilton Boston/Dedham - Dedham, MA
The four-story Hilton Boston/Dedham is comprised of 256 guestrooms, a grand 400 person ballroom, indoor swimming pool and sauna, full-service restaurant, lounge and cafe, 12 meeting spaces, and onsite fitness facility complete with a jogging track. Located less than 10 miles from bustling downtown Boston in a serene woodland setting, the hotel boasts access to Legacy Place, a 675,000 square foot open-air shopping, dining, and entertainment destination, major highways including I-95 and Route 128, and organizations such as Meditech, IBM, Coca Cola, and Adidas.
The joint venture between TPG and CMS recently completed a $2.8 million renovation to the property, updating the guestrooms, bathrooms, meeting spaces, and building facade. A comprehensive $8 million capital plan for 2015-2016 will furnish additional improvements including the redevelopment of the lobby, concierge desk, garage structure, and lounge, further positioning the hotel at the top of the market.
Hyatt Regency – Lexington, KY, Marriott– Fort Lauderdale, FL., Renaissance – Boca Raton, FL. ( Calpers 3 )
This three-hotel investment opportunity was sourced from a fund organized by TPG Hospitality, Inc. and the California Public Employees' Retirement System. It comprises the 366-room Hyatt Regency, the 315-room Marriott Fort Lauderdale and the 189-room Boca Raton Renaissance. These hotel assets have been under the management and operation of TPG since 2006 and are located within strong performing markets benefitting from an array of demand generators including universities, hospitals, government, major corporations and leisure attractions. TPG will implement a major renovation primarily focused on guest rooms, to elevate the hotels to best-in-market and enhance the overall guest experience as well as enable management to drive higher rates.
The consolidated annual cash flow for these properties is projected to average 15%.
Courtyard by Marriott - Reno, NV
The Courtyard is a four-story, 117-room, upscale select-service property offering newly renovated rooms, as well as a new lobby and Bistro restaurant. The Hotel is positioned just minutes away from the Reno-Sparks Convention Center and the Reno-Tahoe International Airport. The Property presents investors the opportunity to acquire a well-located, high quality hotel offering strong cash flow, requiring limited to no immediate capital and the benefits and loyalty of the Courtyard by Marriott brand.
This deal is projected to generate significant cash flow (15%) from the onset.
Hilton Scottsdale Resort & Villas - Scottsdale, AZ
The Hilton Scottsdale Resort & Villas features 233 guest rooms, 23,000 square feet of meeting space, three full service restaurants (8,000 square foot Fleming's Prime Steakhouse & Wine Bar), two pools and a full service health club and spa and business center. The Hilton Scottsdale is situated within walking distance to the finest shops and restaurants the city has to offer. The property offers investors the opportunity to earn substantial cash flow and the potential for significant long-term appreciation.
TPG will implement a $4 million renovation program for additional improvements to the guest rooms, corridors, pools and building systems to improve competitiveness, occupancy and rate growth.
Annual cash flow is projected to average 16% and the amount of debt placed upon the property will not exceed 76% of the overall capitalization of the property.
Waterford Marriott - Oklahoma City, OK
The Waterford Marriott features 197 guest rooms, 8,000 square feet of meeting space, a full service restaurant, attractive heated pool and terrace, and a full service health club and spa. Waterford is a planned mixed-use upscale development containing office, restaurant, residential and hotel components. It is located near the prestigious Nichols Hill neighborhood and the 120-acre corporate campus of Chesapeake Energy. The property offers investors the opportunity to earn substantial cash flow and the potential for long-term appreciation.
TPG will implement a major renovation to transform the hotel from a conventional Marriott to a boutique luxury lifestyle brand in keeping with the surrounding sub-market and it's established presence in the community. This will also include the creation of exciting public venues for food, beverage and social catering geared to the surrounding corporate market and bedroom community.
Annual cash flow is projected to average 13.5% and the amount of debt placed upon the property will not exceed 70% of the overall capitalization of the property.
Providence Hilton - Providence, RI
Providence Hilton is a newly renovated, 274-room, 13-story hotel located in close proximity to the Rhode Island Convention Center, the Dunkin Donuts Center, and several colleges and universities including Brown and the Rhode Island School of Design. It was originally purchased as a Holiday Inn. In 2006/2007, the Hotel and Garage underwent a complete renovation and re-positioning at a cost of nearly $30,000,000 and conversion to a Hilton Hotel. It earned the Hotel the “Best Conversion” award of the year by Hilton Corporation in 2006.
A 30,000 square foot, 3-story glass structure was added to the hotel from the ground up, which contains a Shula’s 347 Grille, a Starbucks, and a glass meeting room overlooking the city. The lobby was completely re-designed with a new front desk and a new gift shop. The guestrooms underwent a complete remodel; the bathrooms were gutted and reconstructed with all new plumbing and granite counters.
A tranche of two million dollars was raised in connection with the acquisition of the existing first mortgage at a substantial discount. This investment was structured as preferred equity and offers a 12.5% annual dividend payment (paid monthly), and a 1.5% semi-annual dividend payment to investors, for a total yield of 14%.
Hyatt House - Downtown Atlanta
Construction will commence in January 2014 to develop a 150-room Hyatt House in what is arguably the most dynamic downtown sub-market in Atlanta. The sports and entertainment district adjacent to the Georgia Aquarium, Centennial Park and the proposed Falcon's stadium, attracts millions of tourists and fans each year. With a total cost of approximately $155,000 per key, limited competition, and a very experienced development and management team guiding the investment, the project is well positioned to capitalize on the numerous surrounding demand drivers and improving market fundamentals.
Hyatt House is a distinctive hotel concept that will evolve the extended-stay model into a social and modern environment where guests feel like residents of an upscale community, with high-end amenities and great curb appeal. The project will consist of 150 rooms, pool and social spaces with a "grab and go" food concept that has become the industry standard. An annualized cash flow return (over a 5 year hold) to the Investor is targeted in excess of 17% with an overall IRR in excess of 25%.
Doubletree Baltimore - BWI Airport
Doubletree Baltimore at BWI Airport is an upscale, seven-story, 260-room, full-service hotel located two miles from Baltimore-Washington International Thurgood Marshall Airport (“BWI Airport”) in Linthicum, Maryland. In addition to two food and beverage outlets and 10,163 square feet of flexible meeting space, the Doubletree Baltimore – BWI Airport offers an outdoor pool, fitness center, business center, outdoor sport court, gift shop and snack shop. In addition, the hotel offers complimentary shuttle service to the airport, nearby light rail stations and local train stations, offering easy access to local attractions, dining, sports venues and businesses. The hotel has exceeded its targeted return of a 12% annual distribution and is on track to deliver an IRR in the mid-twenties.
Our apartment investments target value-add B properties primarily located in Colorado, Texas and Florida. We operate in sub-markets that offer strong demographics. Our goal is to make selective capital improvements which are designed to drive rents and improve the quality of our tenant's experience. Our sponsor operates a portfolio of 7,700 units that are acquired with private equity. They are also a preferred borrower with Freddie Mac under their CME multifamily platform. Our apartment investments are designed to provide annual distributions between 8-10% and IRRs in the 18-20% range.
Mandalay Villas - McDonough, GA
Constructed in 2008, Mandalay Villas is home to 300 contemporary units boasting nine floor plans ranging in size from 675 - 1,325 SF. All residences feature private entrances, double-crown molding, open breakfast bars, full size washer and dryers, 9 foot ceilings and walk-in closets. Community amenities include resort-style swimming pools and lounge areas, playgrounds, fitness center, business center and a gaming room. Ideally positioned 16 miles south of Atlanta and only 10 miles south of Hartsfield-Jackson Airport, Mandalay Villas offers residents access to top-rated public schools and reasonable cost of living.
Stonegate at Eagle's Landing - Stockbridge, GA
Situated in the southern metro Atlanta sub-market of Henry County, Stonegate at Eagle's Landing is a highly desired apartment complex featuring 167 one, two and three bedroom units and offers amenities including garden tubs, over-sized walk-in closets, attached garages, sun rooms and secure alarm systems. Located two miles away from I-75, residents are connected to downtown Atlanta, Hartsfield-Jackson Airport, Southern Regional Medical Center and Piedmont Henry Hospital. Other popular destinations in the area include Henry Marketplace, South Point, Stockbridge Marketplace and Tanger Factory Outlets, all of which house a number of top retail stores including Marshall's, Bed Bath & Beyond, Academy Sports and Pier 1 Imports.
Dolce Living - Mansfield, TX
Dolce Living at Mansfield is a 334 unit apartment community located in Mansfield, Texas, a thriving high growth affluent suburb of Dallas/Fort Worth. This top-of-the-market property offers an extensive list of luxury amenities and highly desirable unit features including custom cabinetry, stainless steel appliances and island-style kitchens with granite countertops. In addition, the property incorporates all you would expect to find at a luxury resort including a state-of-the art fitness center, internet café, and resort style swimming pool.