ATLANTA--(BUSINESS WIRE)--Officials of Peachtree Hotel Group, one of the nation’s fastest growing hotel investment and management platforms, announced that it executed seven hotel transactions in the first half of 2014. Through a combination of acquisitions, new development, and mortgage loan originations, the company remains on-track to add 12-14 hotel assets to its portfolio by year’s end.
“As predicted, 2014 is proving to be a strong year for the hotel industry as a whole and Peachtree has enjoyed the rising tides, with our existing portfolio experiencing robust gains in RevPAR and profitability,” said Greg Friedman, Peachtree CEO. “Our ability to deploy capital at different levels in the capital stack has allowed us to maintain a healthy pipeline of investment opportunities in this competitive market.”
“The acquisition market remains active, and we continue to see a number of deals that excite us, both fee simple and debt originations,” said Jatin Desai, Peachtree CIO. “We remain committed to our targeted growth plan of seeking out select-service and limited-service hotels with well-respected flags that could benefit from a change in management, capital improvements, refinancing or some combination of the three.”
Year-to-date, Peachtree has added the following properties totaling 1,030 rooms to its portfolio:
- Acquired the 163-room Embassy Suites in Williamsburg, Va.
- Acquired the 189-room Courtyard by Marriott in Columbia, S.C.
- Acquired the 195-room Four Points by Sheraton in Biloxi, Miss.
- Provided $9.1 million in first mortgage/mezzanine financing for the Candlewood Suites in Indianapolis, Ind.
- Provided $10.9 million in first mortgage/mezzanine financing for the Hilton Garden Inn in Phoenix, Ariz.
- Developed and opened the 110-room Courtyard by Marriott in Columbus, Miss.
- Began construction on the 105-room Courtyard by Marriott and The Mill conference center and office building in Starkville, Miss.
“Our steady growth is indicative of the fertile market the industry as a whole is experiencing,” said Mitul Patel, Peachtree COO. “As we enter the growth phase of this cycle, there are still a number of hotels either in need of new management, financing or fresh equity. We expect to be very active players for the remainder of the year.”
Peachtree Hotel Group operates, develops and invests in premium-branded, select- and limited-service and extended-stay hotel assets under the Marriott, Starwood, Hilton, Hyatt, Choice and InterContinental Hotels Group flags. Since its inception, Peachtree has acquired or developed more than $400 million of hotel properties and first mortgage notes. Peachtree's current portfolio is comprised of 50 hotel assets totaling 5,199 rooms, including 27 real estate assets and 23 notes. For more information, please visit www.peachtreehotelgroup.com.