May 23, 2018: Crestline Hotels & Resorts Announces Fund To Invest $300 Million in Growth Opportunities
FAIRFAX, VA – May 23, 2018 –
Crestline Hotels & Resorts, LLC, one of the leading third-party management companies in the U.S., announced the creation of a $300 million fund that Crestline will use to acquire hotels and invest in properties with strategic capital partners. The goal of these investments is to enable Crestline to continue the steady growth of its management portfolio. Crestline will be investing $150 million of equity and is targeting 50% debt for the fund.
James Carroll, Crestline’s President and CEO, said “We are actively identifying investment opportunities for our new fund within the upscale and upper-upscale hospitality segments. Crestline will use the fund and our management expertise to convert underperforming hotels into lucrative investments that outperform their competitive sets. The fund has flexible investment parameters, allowing us to acquire hotels, invest in joint ventures, provide mezzanine financing and we will consider entering into long-term leases or performance guarantees. We’ve been very successful steadily growing our management business with our current owners based on our strong track record; and this fund will open up new opportunities for us to spur even greater growth of our management portfolio.”
Kevin Coyer, Director of Investment & Development for Crestline, added “We are very excited about launching this fund and investing directly into our management portfolio. I look forward to talking with owners and investors about how we can provide capital and expertise to turn hotels into better-performing investments.”
About Crestline Hotels & Resorts, LLC
Since its inception in March of 2000, Crestline has grown to manage 119 hotels, resorts, and conference centers with 17,402 rooms in 27 states and the District of Columbia. It manages a diverse portfolio that includes a mix of upper-upscale and upscale full-service, select-service and extended-stay hotels and conference centers. Crestline is engaged with all the major brands including Marriott, Hilton, and Hyatt, as well as the management of well-respected private label hotels and conference centers such as the Georgia Tech Hotel & Conference Center, Emory Conference Center Hotel, and the historic Stonewall Jackson Hotel & Conference Center in Staunton, VA.
Over the past five years, Crestline’s portfolio has more than doubled in size under the direction of its seasoned leadership team, employing a system of best practices and methodologies that enable Crestline to bring hotels quickly and effectively under management with exceptional near-term and long-term results.
Crestline’s properties continually out-perform in many markets, growing their respective market share and driving outstanding profitability. In 2017, Crestline was ranked eleventh on the list of “Top Third-Party Companies” by Hotel Management and ranked twelfth by Hotel Business on its list of “Top Management Companies.” Crestline manages hotels for numerous publicly-traded REITs, private equity investors, and single-asset owners and foundations
More About Crestline
Crestline Hotels & Resorts, LLC, is one of the nation’s largest independent hospitality management companies and is a wholly owned indirect subsidiary of the Barceló Group based in Mallorca, Spain. For more information, visit: www.crestlinehotels.com.
The statements in this press release that are not historical facts may be forward-looking statements. These forward-looking statements involve risks and uncertainties that could cause the outcome to be materially different. In addition, words such as “anticipate”, “believe”, and “intend” indicate a forward-looking statement; however, not all forward-looking statements include these words.