LOS ANGELES-Platinum Equity obtained a $85-million acquisition and construction loan to purchase six hotel properties located in Florida, Minnesota, North Carolina and Texas. Meridian Capital Group was responsible for assisting in orchestrating the loan. The firm’s managing director, Seth Grossman, felt that Platinum’s strategic decision was right in line with other full-service, reputable brands it also owns.
“The properties fit a niche that they [Platinum] think are underserved,” Grossman tells GlobeSt.com via phone. “Platinum can add substantial value to the hotel properties based on in-house operations and a strong management company that has experience with this level of hotel.”
Platinum has brought the Dallas-based Aimbridge Hospitality to manage the properties, which comprise a portfolio total of 1,527 rooms. The hotels include a Embassy Suites Downtown St. Paul and the Holiday Inn San Antonio International Airport.
According to Grossman, Platinum are "very happy" with all the markets. “It’s a portfolio of six hotels that all seem to have a substantial amount of upside and strong names in the markets--especially with the correct management in place.”
He adds, “Platinum bought reputable brands and extended those agreements--want to take them to the next tier in the markets [with solid management]. There were other hotels in other markets initially offered, but they cherry-picked the portfolio to these six deals for what they thought was the most strategic package.”
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