ATLANTA—Hospitality Ventures Management Group has added three hotels to its portfolio in the past two months and formed strategic partnerships with Gabriel Holdings and shared workspaces firm Serendipity Labs that could substantially increase its owned and third-party managed assets over the next two years.
“While 2014 has been a strong year for most of the hospitality industry, it looks like it could well be the best year since we started in 2001, in terms of growth and diversification,” says Robert Cole, president and CEO of HVMG. “Historically, we have been known for our turn-around prowess, and now that we are at the place in the cycle where major repositioning has somewhat subsided, we are expanding into new territories, including new brand segments, and establishing new, best-in-class partnerships.”
So far in 2014, HVMG has added the 177-room Hyatt Atlanta Perimeter at Villa Christina, the 220-room DoubleTree by Hilton Hotel Deerfield Beach in Boca Raton, FL, and the 200-room 230 Peachtree Street Hotel Indigo, currently under development in downtown Atlanta. The hotel will occupy floors two through nine of the office tower, 230 Peachtree Center. Originally designed by John Portman, the 414,768-square-foot office tower will undergo an adaptive reuse development and is expected to open in late 2015 under HVMG’s management.
In terms of its strategic partnership initiatives, Gabriel Holdings, a new private equity group formed recently to acquire and develop hotels, has selected HVMG as its preferred hotel management company for its planned GH Hospitality Fund I. HVMG also will be a JV partner. The fund will selectively invest in value-add, well-branded hotels in the upper midscale through upper upscale segments in secondary and tertiary markets throughout the United States with a goal of adding a minimum of $100 million in assets over the next 12 months.
Serendipity Labs, a network of shared workspaces with a hospitality focus, has entered into a joint venture with HVMG to open and operate commercial and hotel-based workspaces located in hub cities nationwide. HVMG’s first deal with Serendipity Labs will open this fall in downtown Chicago.
“We quietly have gone from a handful of hotels to nearly 50 in less than seven years, a testament to the team of professionals we’ve been fortunate enough to assemble,” Cole says. “We have a highly diverse group of executives with an average of more than 20 years industry experience each, and our retention rate is one of the highest in the industry. I credit that to the family atmosphere the team has been able to cultivate. As excellent as 2014 is already, the future looks even brighter still.”
HVMG currently operates 42 hotels in 17 states totaling 7,619 guest rooms. HVMG operates independent and boutique hotels, resorts, and full-service, select service and extended stay branded hotels under the Hilton, Marriott, Hyatt, Starwood and IHG brands.