X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

DALLAS-Wyndham International Inc. has stamped a $105-million double-edged sale to Lehman Brothers Real Estate Partners. The transactions roll deeds to six Summerfield Suites hotels and a partnership interest to the 23-property chain along with a plan to expand the line.

“We have long believed that the brand strength of Summerfield Suites could be realized to its full potential through a joint venture partnership,” Fred J. Kleisner, Wyndham’s chairman, president and CEO, says in this morning’s press release, “and expect this joint venture with Lehman will enable the brand to grow exponentially in the next decade.” Summerfield, he adds, consistently leads the extended-stay segment.

Wyndham execs were unavailable for comment due to the holiday, but the official word is the JV is a 50-50% split. The deal sets up an independent, Dallas-based company focused exclusively on the Summerfield Suites by Wyndham flag–management, franchise sales and development. Lehman’s role is to find financing opportunities for development.

According to the release, the New York City-headquartered Lehman’s partnered with the Gencom Group, a private, Miami-based hospitality investment firm, for the acquisition, including the partnership stake. The new company’s portfolio starts out with a half dozen of hotels with 890 suites in Denver, Miami, Seattle, Waltham, MA, and Morristown and Whippany, NJ.

“The Lehman’s deal just gives us the financial muscle to develop,” Andrew Jordan, Wyndham’s executive vice president of sales and marketing and chief marketing offices, tells GlobeSt.com. He adds the initiative is separate from the hotelier’s brand expansion plan of the Wyndham flag, which is being led by Nicholas R. Bonrepos.

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

 

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2022 ALM Global, LLC. All Rights Reserved.