ATLANTA--(BUSINESS WIRE)--Sep 19, 2024--
Peachtree Group ("Peachtree") continues to build momentum with its sixth hotel acquisition of the year, with the acquisition of the AC Hotel by Marriott in Park City, Utah, highlighting the growing equity investment opportunities re-emerging in the hospitality sector.
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Peachtree Group ("Peachtree") continues to build momentum with its sixth hotel acquisition of the year, with the acquisition of the AC Hotel by Marriott in Park City, Utah (pictured). (Photo: Business Wire)
"Our team has successfully acquired a number of hotel properties at below-market prices, taking advantage of the current slowdown in transactions,” said Greg Friedman, managing principal and CEO of Peachtree. “While the market is slower than usual due to high interest rates, tighter lending conditions, economic and geopolitical uncertainty, we continue to remain active, capitalizing on unique opportunities that arise in this environment while employing multiple strategies which allow us to capitalize on the current market dislocation. By staying patient and strategic, we've been able to secure valuable assets while others take a more cautious approach.”
The six acquisitions, totaling 789 rooms, include three Hilton hotels and three Marriott hotels. All hotels are operated by Peachtree’s hospitality management division, which currently manages 93 hotels, across 27 brands with 11,837 rooms located in 26 states.
The acquired properties include:
- 100-room AC Hotel by Marriott in Park City, Utah
- 128-room Residence Inn by Marriott in Wesley Chapel, Fla.
- 114-room Residence Inn by Marriott in Oakhurst, N.J.
- 146-room Home2 Suites by Hilton in Falls Church, Va.
- 130-room Home2 Suites by Hilton in Lawrenceville, Ga.
- 180-room Hilton Garden Inn in Denver, Colo.
As the transaction market normalizes, Peachtree remains well positioned to expand its portfolio and enhance long-term returns.
“What's even more promising is that the bid-ask gap between buyers and sellers is beginning to narrow, as outside market pressures continue to put stress on property-level economics. Given these factors, we anticipate an increase in transaction activity in the waning months of 2024 and into 2025,” Friedman said.
Owners with looming maturities are becoming more motivated to sell rather than face costly refinancing, creating opportunities for well capitalized buyers.
“As the market rebalances, we are well-positioned with a diverse platform and a proven track record of execution that will allow us to continue our momentum and seize on attractive opportunities in the months ahead, " Friedman added.
About Peachtree Group
Peachtree Group is a vertically integrated investment management firm specializing in identifying and capitalizing on opportunities in dislocated markets, anchored by commercial real estate. Today, the company manages billions in capital across acquisitions, development and lending, augmented by services designed to protect, support and grow its investments. For more information, visit www.peachtreegroup.com.
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CONTACT: Charles Talbert
678-823-7683
KEYWORD: UTAH GEORGIA UNITED STATES NORTH AMERICA
INDUSTRY KEYWORD: COMMERCIAL BUILDING & REAL ESTATE CONSTRUCTION & PROPERTY LODGING FINANCE ASSET MANAGEMENT TRAVEL PROFESSIONAL SERVICES OTHER CONSTRUCTION & PROPERTY
SOURCE: Peachtree Group
Copyright Business Wire 2024.
PUB: 09/19/2024 08:55 AM/DISC: 09/19/2024 08:55 AM
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