PGIM Real Estate, on behalf of a value-add investment strategy, has entered into a joint venture with Madison Cairn, a newly formed division of Cairn Group, to target the recovering U.K. hotel sector.
PGIM Real Estate is the $209.3 billion real estate business of PGIM. Cairn is an integrated investor, developer and operator in U.K. leisure, with a portfolio of 33 hotels and a 50-year track record in the industry.
The joint venture will seek to acquire, develop and reposition hotels in the United Kingdom with a focus on domestic leisure demand, which has shown strong signs of post-pandemic recovery. In particular, the venture considers that key “staycation” destinations and selected other U.K. locations are likely to outperform in the current geopolitical environment.
The team already has secured a strong pipeline of activity, with the joint venture’s first investment in Brighton, one of the United Kingdom’s most attractive hotel markets.
“At PGI
