Thank you for sharing!

Your article was successfully shared with the contacts you provided.

McLEAN, VA-Highland Hospitality Corp.’s shareholders have approved a previously announced agreement to be acquired by affiliates of JER Partners Acquisitions for $2 billion in cash. Highland is a lodging REIT based here that focuses on the premium and upscale full-service and limited-service markets.

According to the agreement originally outlined by the companies, JER would assume Highland’s approximately $260-million existing debt and acquire all of its outstanding common stock and operating partnership units for $19.50 per share–a 15% premium over Highland’s three-month average closing share price. No future dividends will be paid on the common stock.

With the deal on track to close, JER is anticipating adding 27 hotel properties under the Crestline Hotels and Resorts, Marriott International, Hilton Hotels, Hyatt Hotels, Ritz-Carlton and McKibbon Hotel Management under Marriott, Hilton, Ritz-Carlton, Westin, Hyatt, Sheraton, Renaissance, Crowne Plaza, Courtyard, Hilton Garden Inn, Wyndham and Residence Inn flags. All together the portfolio consists of an aggregate of 8,382 rooms in 14 states and the District of Columbia.

Cia Buckley, president of JER’s US Fund Business, has said that JER intends to invest additional capital in the portfolio to position it for further growth.

The last hotel portfolio the company acquired was a little more than a year ago. In May 2006 JER acquired Jameson Inns Inc. for $371 million or $2.97 per share. With this sale, JER added 107 proprietary-branded hotel properties in 12 southeastern and Midwestern states, including such brands as the Jameson Inn and Signature Inn names.

Also in the news, the joint venture between Formation Capital and JER has completed its acquisition of Genesis Healthcare Corp. with an offer of $63 a share for the Genesis stock.

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?


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 © 2021 ALM Media Properties, LLC. All Rights Reserved.