Procaccianti Cos., owner of TPG Hotels & Resorts, is forming a new nontraded REIT to expand its hotel investments, according to CoStar. The REIT’s maximum offering amount is $552 million, according to a filing with the SEC.
Procaccianti Hotel REIT will acquire a diverse portfolio of existing select-service, extended-stay and compact full-service hotel properties and may also make investments in distressed debt and preferred equity with the intent to acquire the hotel properties underlying those investments.
Through TPG, Procaccianti has a portfolio of more than 60 hotels with nearly 18,000 rooms and includes such brands as Accor, InterContinental, Hilton, Hyatt, Marriott, Starwood and Wyndham.
The new REIT has the option of acquiring a 51 percent joint venture interest in up to two select-service hotels acquired by a Procaccianti affiliate this summer. The hotels are the Staybridge Suites St. Petersburg Downtown in St. Petersburg, Fla., and Springhill Suit
