Flynn Properties and Värde Partners form joint venture and acquire 20 selected service hotels

0

SAN FRANCISCO & MINNEAPOLIS – (COMMERCIAL THREAD) – Flynn Properties Inc. (“Flynn”), owner of commercial buildings, luxury resorts and selected service hotels in America and abroad, as part of a joint venture with Värde Partners, one of the world’s leading alternative investment firms, today announced it has acquired 20 select service hotels – 11 Marriott®- and nine Hilton®-branded locations – in a $ 211 million deal dollars with Apple Hospitality REIT (NYSE: APLE), a publicly traded real estate investment trust (REIT) that owns one of the largest and most diverse portfolios of upscale room-focused hotels in the United States. United.

The newly acquired properties, located in the Sunbelt, Northeast, Pacific Northwest and Midwest, will undergo improvements over time. Flynn Properties will act as a managing member of the joint venture, responsible for the day-to-day management of the portfolio assets and the execution of the business plan.

“We are delighted to announce the addition of these Marriott and Hilton branded hotels to our portfolio of properties,” said Greg Flynn, Founder, President and CEO of Flynn Properties. “This acquisition is part of Flynn Properties’ broader business strategy to increase its hotel footprint with select services, which has proven to be one of the top performing areas in the industry. We’re also excited about the caliber of the properties included in this deal, as Marriott and Hilton are global hospitality icons known for welcoming some of the world’s most loyal business and leisure travelers while offering loyalty programs. extremely robust, which we believe will be a key source of revenue and customer loyalty.

“Värde is pleased to partner with an experienced sponsor in Flynn Properties to acquire a portfolio of well-positioned hotel properties in attractive locations with compelling market supply / demand dynamics. These properties have withstood the pandemic well, demonstrating the high demand for select service hotels and the strength of their brands, ”said Francisco Milone, Head of Real Estate Special Situations at Värde Partners. “The hospitality industry has experienced an unprecedented shock, with extreme levels of cash flow disruption resulting in significant demand for capital. As the industry begins to recover from the pandemic, we believe there will be opportunities to selectively invest in high quality assets that are well positioned to capitalize on the return of business and leisure travel. . ”

This acquisition will bring Flynn Properties’ portfolio of select service hotels to 26 properties, complementing the six existing Marriott branded hotels it currently owns. Flynn Properties is a division of Flynn Holdings, based in San Francisco, which has two main businesses: real estate and restaurants. Flynn Properties’ past hotel investments include six Marriott Courtyards as well as four luxury resorts: Esperanza in Los Cabos, Mexico, Carneros Resort & Spa and Solage, both located in Napa, CA, and Madeline Hotel in Telluride. , Colorado. Its business investments consist primarily of technology-driven office buildings on the West Coast totaling over 3 million square feet. Its subsidiary, Flynn Restaurant Group LP, is the world’s largest franchised restaurant operator and one of the 20 largest catering companies of all types in the United States, owning and operating 2,400 restaurants in 44 states, generating 3, $ 6 billion in sales and employing approximately 73,000 people.

Värde has over 25 years of experience investing in real estate, including financing and owning hotel properties. The company recently finalized the sale of a portfolio of eight European luxury hotels operating under the The Dedica Anthology brand in September 2020 after transforming the hotel group by appointing a top-notch management team, refinancing the business and executing an ambitious investment program.

-Following-

About Flynn Properties, Inc.

Flynn Properties Inc. has extensive experience in commercial and hotel real estate investing. Founded in 1994 and headquartered in San Francisco, California, Flynn Properties owns over 3 million square feet of technology-oriented office buildings on the West Coast. In addition to 26 Marriott and Hilton branded selected service hotels, Flynn Properties’ hospitality investments also include the luxury Esperanza resorts, located in Los Cabos, Mexico, the Carneros Resort and Solage, both located in the Napa Valley, and the Madeline Hotel. in Telluride. For more information, visit www.flynnholdings.com.

About Värde Partners

Värde Partners is a leading global alternative investment firm with roots in credit and struggling. Founded in 1993, the company has invested $ 80 billion since its inception and manages $ 15 billion on behalf of global investors. The company’s investments cover corporate and negotiated credit, real estate and mortgages, private equity and direct loans. Värde employs over 300 professionals worldwide with offices in Minneapolis, New York, London, Singapore and other cities in Asia and Europe. For more information, visit www.varde.com.

# # #


Source link

Leave A Reply

Your email address will not be published.