Single Asset Acquisition

Sponsor: Aimbridge Hospitality
Capital Partner: Kennedy Associates

Competencies Executed:

• Renovation
• Rebranding
• Repositioning

Transaction Summary

• Purchase of formerly Hilton branded hotel with exceptional marina-front location.
• In conjunction with Partnership purchasing the asset, the Hilton flag was lost due to lack of capital upkeep.
• Partnership injected property with $8.5mm ($40K per key) for renovation and Doubletree brand conversion.
• Partnership continues to own asset and capture strong annual returns.

Deal Highlights

• Partnership purchased the asset through a widely marketed bidding process and was selected among a group of highly qualified buyers.
• Aimbridge Hospitality was largely responsible in selecting the Doubletree brand after carefully examining multiple branding alternatives.
• Following Doubletree conversion and stabilization, property achieved strong gains in market share and operating margins.

• Strong relationship with Doubletree brand allowed for partnership to pay below-market franchise fees for majority of hold period.
• Aimbridge Hospitality oversaw completion of the extensive renovations which came in on-time and budget.
  • – Sponsor created value for partnership by persuading Doubletree to consent to nearly all of capital dollars being spent in areas visible to the guest.