Pebblebrook says the sale price includes the 140-room hotel and the 57,000 square foot fitness center which is fully leased to a third-party tenant until June 2019.

Going with that trend of a preference for multifamily, lenders and investors continue to follow suit as a result, including the HUD financing for Hunter's Cove Apartments.

The question many of these smaller and mid-sized real estate firms need to ponder as their business grows, is when does it make sense to begin raising equity capital in a fund structure versus one deal at a time?