DFW Demographics Resonate with Hotel Investors

DoubleTree DFW is on track to meet its 20 to 24% return rate during the lifetime of the investment.

DALLAS—A recent investment in the DoubleTree by Hilton DFW Airport is delivering on its targeted returns. The crowdfunding project has met its projected year one return rate of 17.5% for investors and is also on track to meet its 20 to 24% return rate during the lifetime of the investment, says Acquire Real Estate , a pre-funded real estate crowdfunding firm. “Dallas-Fort Worth is an excellent area for investment with its strong employment growth, higher-than-average wages and skilled workforce,” said Josh Klimkiewicz , president of Acquire Real Estate. “With these demographics, and the continued rate of growth in the hotel industry, we felt that the Doubletree by Hilton DFW would be a smart investment for our members.” More than 15 individual investors invested in the crowdfunding project, which has benefited from continued growth in the Dallas hotel market. According to STR Inc. , the Dallas-Fort Worth lodging market grew by nearly 20% in 2015, and RevPAR (revenue per available room) rose by 16.5% (to $81.64) in January 2016. The metro ranks as one of the nation’s strongest-performing economies. Klimkiewicz tells GlobeSt.com: “Dallas is an excellent area for investment and right now it’s outperforming a number of commercial real estate markets across the US. This, paired with the opportunity to work with BPG—one of the most successful owner/operators in the hotel space—created a really unique investment opportunity.” The 282-room, eight-story hotel is owned by The Buccini Pollin Group (BPG) and is located adjacent to the Dallas-Fort Worth Airport. The hotel has also undergone new management and interior renovations, which are expected to further strengthen the crowdfunding investment’s performance. “The hotel’s excellent location and positive cash flow made it a natural fit for the Acquire platform,” added Klimkiewicz. “As the hospitality industry continues to perform well, we’re seeing growing demand from investors for high-quality hotel opportunities like this.” Acquire Real Estate is one of the only real estate crowdfunding platforms to pre-fund its investment opportunities. Its platform features a collection of income-producing properties from top national sponsors that are first pre-screened and then pre-funded by Acquire. Unlike competing platforms, Acquire takes a unique approach in its role as equity investor, whereby it underwrites and invests in each property prior to offering it to its members.