TCOR Hotel Partners has formed an equity joint venture with TriGate Capital for $30 million.
The venture will focus on the acquisition of branded premium select service hotels.
In addition, TCOR will create value at the hotels by implementing property improvement plans, aggressively asset managing operating performance and engaging best in class third-party management companies.
In addition, TCOR and TriGate signed a definitive agreement for a first acquisition expected to close in late August.
Tom Corcoran, the CEO of TCOR and former founder/chairman of FelCor Lodging Trust said, “We expect to purchase five to six hotels.”
TCOR is a hotel acquisition platform designed to drive value and create superior returns to its investors. TCOR focuses on opportunities that provide immediate yield at deal execution, upside operational/management reposition, value to replacement cost and post-acquisition capital improvements, and repositioning opportunities for yield benefit. TCOR will focus primarily on the branded, premium select service and extended-stay segments of the hotel space in primary and secondary markets that demonstrate positive demand factors.
TriGate is a discretionary real estate fund founded in 2007 that has purchased more than 12 million square feet of commercial properties since inception. TriGate currently has approximately $1.3 billion of assets under management and is currently investing a $340 million equity fund — TriGate Property Partners III — across all commercial asset sectors with a significant amount capital available for new investment.
