Mergers & Acquisitions

🏨 MIAMI, Florida—Kabani Hotel Group brokered the sale of voco St. Augustine – Historic Area by IHG, a 50-room hotel, for $9,000,000. The sale price equates to $180,000 per room with a 6.3% capitalization rate and a ~5.3× room revenue multiple. The transaction, led by Lucas Mondino, closed in 44 days. Built in 2019, the hotel caters to both historic tourism and beachgoers in St. Augustine's strong leisure market.

🏨 Soft brands have surged in popularity as lodging companies like Hilton, Marriott, and Preferred Hotels & Resorts grow collections of independent hotels. As of 2023, Hilton’s Curio Collection is set to open its 200th hotel, and The Luxury Collection in Madrid reopened in 2025 after renovation. These brands offer independence with global sales platforms and loyalty programs. Preferred Hotels boasts over 600 hotels worldwide. LHW and Relais & Châteaux maintain exclusivity, accepting only 5% of membership inquiries.

💰 The Plasencia Group facilitated the sale of Le Pavillon New Orleans, a Tribute Portfolio Hotel, including an adjacent lot. The buyer group was led by Robert J. Guidry, with Guidry Land Partners and David Bansmer. The 226-room hotel, originally opened in 1907 and affiliated with Marriott’s Tribute Portfolio in 2024, is located on Poydras Street, New Orleans. Guidry’s portfolio in the city is nearing 1,000 rooms, highlighting New Orleans' hospitality market strength.

💰 MCR Hotels, a major investor, backed out of a $200 million funding commitment for Soho House & Co's $2.7 billion privatization deal. On Monday, MCR, the third-largest U.S. hotel owner-operator, notified Soho House it couldn't meet its financial obligation by the closing date. Despite this, Soho House plans a stockholders meeting on Thursday. Majority shareholder Yucaipa, owned by Ron Burkle, is seeking alternative funding, potentially from Apollo or other investors.

🏨 UK: a&o Hostels acquires ibis and Novotel hotels on Portland and Dickinson Streets in central Manchester from Ares Real Estate funds and EQ Group. Plans include a $8.2 million investment to create 1,218 beds in 303 rooms, with works finishing by Q1 2027. The acquisition is a&o's fourth UK asset. Manchester, attracting 1.9 million visitors annually, is a key strategic target. Over 24 months, a&o has added 8,500 beds across Europe.

🍺 The Sun Inn in Acomb, Northumberland, is for sale at £425k. The pub, located two miles north of Hexham, offers a bar seating 34, a breakfast area for 12, a beer garden, and six letting rooms. Also included is a two-bedroom apartment. Situated near Hadrian’s Wall and Hexham Abbey, it attracts both locals and tourists. Marslie McGregor of Christie and Co anticipates strong interest due to its charming appeal and varied income streams.

🏨 A&O Hostels has acquired two hotels in Manchester's city center for an undisclosed amount. The properties, totaling 13,000 sq m, were formerly operated as ibis and Novotel hotels. A&O plans an £8.2m refurbishment to create a 1,218-bed hostel with 303 rooms by early 2027. The expansion is part of a €500m (£434m) investment in major European cities, adding around 8,500 beds in the past two years. Manchester attracts 1.9 million visitors annually.