Mergers & Acquisitions

🏨 Hotel loan originations hit $27 billion in H1 2025. With $114 billion in hotel loans maturing by 2027, the financing landscape remains active. Despite decelerated RevPAR growth, luxury hotels rose by 24.1% while economy segments fell by 1.2% against 2019. Floating-rate loans dominate assets in transition; $26 billion in loans mature in 2025 alone. Revenue is expected to grow by 1-1.5% in 2026, bolstered by ADR increases and World Cup events.

💵 Peachtree Group, through September 2025, completed over $2 billion in private credit transactions across 77 deals, aiming for $2.5 billion by year-end. In 2024, they deployed $1.6 billion—a 54% increase from 2023. Notable deals include: $176.5 million for Rio Hotel & Casino (Las Vegas) and $68.2 million for AC Hotel (Seattle). With $3 trillion in U.S. commercial real estate debt maturing by 2028, private credit demand continues to rise.

🏨 Leisureplex Hotel Group has acquired The Derwentwater Hotel and Derwent Manor Apartments in Portinscale, Cumbria for an undisclosed sum. The property includes 47 en-suite bedrooms, 18 self-catered apartments, a holiday cottage, a lakeview conservatory, and landscaped gardens. It is now the 25th hotel in the Leisureplex Collection. Graham Wilkinson, a hotel agent from Christie and Co, emphasizes the hotel's prominence in the Lake District and plans for revitalization.

🏠 Bond Wolfe will auction the fire-damaged Hatherton House Hotel in Penkridge on 23 October 2023. The Grade II-listed building, dating from 1831, has a starting guide price of £500k. The two-acre site includes 55 former en-suite bedrooms and extensive leisure facilities, requiring comprehensive refurbishment. The 34,700 sq ft property offers potential for various uses, including residential, subject to planning permission. Penkridge is located five miles south of Stafford and 10 miles north of Wolverhampton.

🏨 Josiah Mackenzie and Andrew Arthurs are in Phoenix this week for The Lodging Conference, focusing on hotel owners and investors. Andrew Arthurs, President and COO of Actabl, discusses strategic approaches involving people, partnerships, and technology to enhance asset value.

🏨 RateGain acquires Sojern for $250 million to help hotels bypass OTA's dominance. The DewDrop Inn, a 150-room hotel in Miami, illustrates the change. Traditionally, hotels paid OTA commissions of 15–20% by maintaining rate parity. Now, AI assists travelers, offering private rates via RateGain’s tech, avoiding 15% commissions. Sojern’s data identifies high-value customers. Public rate: $189; private AI rate: $169 with breakfast. This strategy diminishes OTA leverage and strengthens direct bookings.

💵 BLS UK Hotels Ltd acquired the Trefeddian Hotel in Aberdyfi for £6.55 million, ending over 100 years of family ownership by the Cave-Browne-Cave family. The Birmingham-based law firm Wilkes, with Cooper Parry and Skye Corporate Finance, advised on the transaction. The sale reflects increasing confidence in the UK hospitality sector, with rising single-asset hotel transactions. Caroline Cave-Browne-Cave praised the legal team's support during the process.

🏨 Penally Abbey Hotel, a Grade II listed property in Tenby, Pembrokeshire, has been owned by Melanie and Lucas Boissevain for 11 years. The 12-bedroom hotel, featuring sea views and a two AA Rosette restaurant, was named Best Hotel in Wales 2024. It’s now for sale for an undisclosed sum, marketed as a going concern. Sam Roberts of Christie and Co highlights its strong trading history and potential for revenue enhancement.

🏠 The Williams family acquired Hertford House Hotel and Quiet Man pub in Hertford for over £2.2 million following the previous operator's administration. The properties include 28 en-suite rooms and a pub seating 40 indoors. All staff positions were secured and transferred to Tewinbury Farm, a riverside hotel and farm near Welwyn operated by the family since 1931. Brothers Jack, Tom, and Sam Williams will lead the development, focusing on local produce and community emphasis.

🏨 In a choppy real estate market with high interest rates and declining demand, hotel owners should consider selling based on personal motivations, not market timing. While construction costs soar, purchasing remains a cost-effective option. Abundant equity and brand mobility offer opportunities. Each asset requires an analysis of recent sales, location, and potential costs. Owners must evaluate if exiting is in their best interest and consult financial advisors for preparedness in the sale process.