Apart-hotel brand Kasa will add more than 10 properties to first
be operated under the Mint House by Kasa brand.
NEW YORK CITY – Flexible accommodation brand Kasa has entered
into a cashless, all-equity “strategic combination” with residential hospitality operator Mint
House to take over operations of nearly 1,000 managed units nationwide.
Mint House properties will be integrated into Kasa’s
platform, including the 70 Pine building in Lower Manhattan, an Art Deco tower in Lower Manhattan which features a fitness
center, gourmet market, and the Michelin-starred restaurants Crown Shy and
SAGA. In addition, the transaction expands Kasa’s footprint across multiple
high-growth, U.S. markets, including Washington, D.C., Dallas,
Nashville, St. Petersburg and Tampa.
Kasa Founder and CEO Roman Pedan
Kasa Founder and CEO Roman Pedan told Hotel Investment Today in an exclusive interview that the deal is immediately and meaningfully EBITDA-accretive to Kasa, strengthening its balance sheet and overall financial position. Given the private nature of the transaction, Pedan would not disclose detailed return metrics, but said he expects strong value creation driven by scale efficiencies, operating leverage, and improved unit economics.
“This deal is proof that the alternative accommodations sector is maturing,” Pedan said. “As the category evolves, owners are prioritizing disciplined operators with the infrastructure and processes to perform consistently across market cycles.
“In this context, discipline supports durability. Mint House ran a comprehensive strategic process and selected Kasa because the combined platform delivers clear benefits: deeper operational expertise, stronger commercial capabilities, and a more resilient operating model for owners.”
Pedan added that the transaction also underscores that in hospitality management scale matters. “The business carries significant fixed costs, and sub-scale operators are structurally challenged,” he said. “The transaction further cements Kasa’s role as the hospitality management platform defining the alternative accommodations category.”
This deal is proof that the alternative accommodations sector is maturing. As the category evolves, owners are prioritizing disciplined operators with the infrastructure and processes to perform consistently across market cycles.
Roman Pedan
All of the Kasa properties are operated under management agreements. “We believe management is the most durable and aligned structure for both owners and operators, and our experience - and longstanding industry history - supports that view,” Pedan explained.
Mint House will not continue as a standalone business, Pedan said. A
small number of properties were excluded from the deal due to factors such as
asset quality or contractual structure and have been wound down accordingly.
In February of last year, Mint House acquired one of its
competitors, Austin-based Locale, for an undisclosed amount, which Mint House
said at the time deepened its presence in key markets and helped it expand into
new ones.
As part of the new transaction, Mint House CEO Christian Lee
will join Kasa as a senior advisor to support the transition and promote
continuity for owners and partners.
Initially, these new Kasa locations will operate under the
Mint House by Kasa brand. Brand positioning will be evaluated over time as part
of a broader portfolio and customer strategy, according to Pedan.
Including the Mint House properties, there are now some 85
Kasa properties across the U.S. in partnerships with institutions such
as Starwood Capital, Berkshire and Brookfield. Among those, Kasa has completed
35 hotel and apart-hotel management transitions, and the new
additions will continue to offer mobile-first check-in, 24/7 guest
communications, and designed experiences.