Latest news: Gencom $550M Bermuda deal; Peachtree's DST property; Playa, Kimpton in Mexico

Gencom $550M renovation in Bermuda. Miami-based Gencom has closed a $550 million recapitalization of the 593-key Fairmont Southampton resort in Bermuda, funding a major redevelopment and expansion of the resort. Financing for the transaction was provided by key institutional lenders, led by Starwood Property Trust and Clarien Bank. The redevelopment is already underway and will modernize the resort and include renovations of the guest rooms, lobby, reception area, restaurant, meeting spaces and ballrooms. The redevelopment will additionally include a multi-phased residential program with luxury residences branded under the Fairmont flag. The resort is slated to reopen in early 2026. Gencom recently acquired the 587-key Thompson Central Park Hotel in New York City.

Peachtree's 5^th DST property. Atlanta-based Peachtree Group has launched of its fifth hotel property structured as a Delaware Statutory Trust (DST) following the completed acquisition of the 128-key Residence Inn Tampa Wesley Chapel in Tampa, Florida. This follows Peachtree’s successful closing of its Home2 Suites by Hilton Atlanta Sugarloaf DST in August. Peachtree’s DST acquisitions present an opportunity for 1031 exchange investors seeking to reinvest proceeds from the sale of appreciated real estate while enjoying tax deferral benefits. Peachtree's five DST deals total over $150 million in debt-free real estate transactions.

$1B in C-PACE financing. New York City-based Carlyle has committed up to a $1 billion to New York City-based North Bridge ESG LLC for C-PACE financing. According to the release, the move sets the stage for an unprecedented expansion in the C-PACE market as North Bridge provides the fixed-rate form of financing nationwide. This transaction was a joint effort between Carlyle’s Credit Strategic Solutions (CSS) and private credit teams. CSS has deployed nearly $5 billion since 2021 and has roughly $7 billion in assets under management as of June 30th, 2024.

CIM closes $31M refi. Los Angeles-based CIM Group, through its CIM Real Estate Debt Solutions business, on behalf of a CIM-managed fund, has closed a $31 million whole loan to an affiliate of Washington, D.C.-based CarrAmerica to refinance the 120-key Hotel Indigo Old Town Alexandria in Alexandria, Virginia. Carr developed Hotel Indigo Old Town Alexandria in 2017.

Raines adds in South Carolina. York Hotel Group, which is a special-purpose entity formed by Florence, South Carolina-based Raines and other investors, is developing the 97-key Hampton Inn & Suites - York in South Carolina, which is scheduled to open in late 2025 and early 2026. Raines will manage the property.

Playa adds in Mexico. Fairfax, Virginia-based Playa Hotels & Resorts is opening the 355-key Kimpton Tres Rios, its newest managed all-inclusive property in Mexico’s Riviera Maya, for stays starting in early 2025. Kimpton Tres Rios marks an important first for the Kimpton brand, part of IHG Hotels & Resorts luxury and lifestyle portfolio, as the first all-inclusive resort for the renowned boutique luxury brand.

Accor adds 3 in Singapore. Accor is partnering with Fragrance Group Ltd. and Global Premium Hotels Ltd., both owned by Koh Wee Meng, to sign two new-build properties with three hotel brands in Singapore that are set to open by 2027. This agreement will introduce Mövenpick Singapore, the largest Mövenpick hotel in Asia Pacific, the first Mövenpick Living in Singapore, and a Handwritten Collection branded hotel to the city.

Hyatt repurchases $250M in stock. Hyatt has repurchased $250 million of Class B shares from the Pritzker family, according to an 8K filing. According to Michael Bellisario, an analyst at RW Baird, the repurchase is expected to close on Tuesday, and the price was based on the trailing three-day VWAP of $152.23/share. Bellisario said Hyatt's 2024 guidance calls for $1.25 billion of capital returns to shareholders, “we view the $250 million Class B repurchase as an expected return of capital to shareholders; however, this form of buyback does not shrink the float, which is what investors (of the Class A shares) prefer.”

Bricton adds in Illinois. Chicago-based Bricton Group is adding the 391-key Renaissance Chicago North Shore Hotel in Northbrook, Illinois, to its management portfolio. Bricton manages more than 2,500 rooms in the U.S.

Ascott signs 28 in Southeast Asia. Singapore-based The Ascott Ltd., the lodging business unit wholly owned by CapitaLand Investment, has signed 28 properties for the year-to-date in Southeast Asia, adding over 3,400 units across its various brands in key destinations. This development reflects Ascott’s notable growth trajectory in Southeast Asia, with its portfolio increasing more than fivefold over the past decade, from 13,000 units in 2015 to more than 67,000 today. Additionally, the new signings will mark Ascott’s entry into new cities such as Purwakarta, Indonesia and Kulim, Malaysia.

Whitbread adding in Manchester. Whitbread and Mix Manchester are developing the largest Premier Inn in the north of England at Manchester Airport. The new 276-key hotel will begin construction in early 2025 if the plans are approved by the Manchester City Council late this year. The 233-key Premier Inn Manchester City Centre is currently the largest Premier Inn in the North of England.

Norwegian airline, Strawberry create shared loyalty currency. Bærum, Norway-based Norwegian airline and Oslo, Norway-based Strawberry hotels have created a joint venture called Spenn that will offer a common loyalty currency and platform across both brands that they expect will drive better engagement and distribution opportunities for them and more relevance for travelers. The two companies are 50-50 partners in the joint venture, which will launch this fall with about six to eight million participants who will be able to earn the currency – also called Spenn — on hotel stays and use them to pay for flights or vice versa. The program will add more partners for earning and redemption such as grocery chains, fuel providers, pharmacies and banking services.