Mergers & Acquisitions

🏨 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.

💸 Walker & Dunlop, Inc. secured a $112.5 million loan to refinance Ace Hotel Brooklyn at 252 Schermerhorn Street, featuring 287 guestrooms over 154,947 square feet. The refinancing, arranged for GFI Capital Resources Group, Inc. and Spruce Capital Partners, retires existing debts. New York City, facing regulatory barriers, expects over 64 million visitors by 2025. The hotel offers eateries, event spaces, and retail, underscoring NYC's hospitality growth. Walker & Dunlop's Capital Markets team sourced over $16 billion in 2024.

🏨 Marcus & Millichap brokered the sale of a 60-room Super 8 by Wyndham hotel in Spearfish, South Dakota, for $2.4 million. The hotel's strategic location off Interstate 90, near attractions like Spearfish Canyon and Mount Rushmore, offers a year-round tourism appeal. Built in 1977, the property will undergo rebranding and operational improvements to enhance value. Jon Ruzicka, Joseph Ferguson, and Reed Gizinski, from Marcus & Millichap’s Minneapolis office, managed the transaction.

🏨 Fontenille Collection, founded in 2016 by Frederic Biousse and Guillaume Foucher, owns 12 boutique hotels in France, Italy, and Spain. The company produces 300,000 wine bottles annually and is expanding into Brittany, Burgundy, and the Alps. LVMH acquired a 23% stake four months ago. The first hotel cost €20M. Fontenille targets offering affordable luxury (€400-800/night) and relies heavily on direct bookings, with 80% of sales direct. Their strategy emphasizes heritage, community, and experiential luxury.

🏠 Woodlands Guest House and Glenburn Hotel, located in the Lake District, are for sale at £2.75 million. The properties, combined into a 30-bedroom guest house four years ago, include two self-contained cottages. They're a 10-minute walk from Lake Windermere and five minutes from the railway station. Managed by Christie and Co, the sale represents a rare opportunity due to the property's size, attracting both domestic and international guests year-round.