GALVESTON, Texas – (Realty News Report) — Hospitality Asset Funding Group (HAF), a provider of capital market solutions for the hospitality industry, has completed its acquisition of the historic Tremont House Hotel in Galveston.
HAF purchased the 108-room Tremont House Hotel and also made major equity investments in the Hyatt Place Cedar Park and the Courtyard by Marriott Austin Pflugerville.
Hospitality Asset Funding Group is a joint venture between SRH Hospitality, based in Addison, Texas, and JLM Financial Investments, based in Austin.
Texas Landmark Dating to 1865
The Tremont House Hotel, with origins dating back to 1865, is an iconic Texas landmark located in the heart of The Strand National Historic Landmark District and Galveston’s Downtown Cultural Arts District. HAF acquired the property from Mitchell Historic Properties, which is owned by the estate of the late George P. Mitchell.
George P. Mitchell, who died in 2013 at the age of 93, was known for redeveloping historic properties and for major real estate and energy projects, including the development of The Woodlands.
“We are excited about the opportunity to continue the great legacy the Mitchell family cultivated during their ownership of the Tremont,” said Jerry Crenshaw, a partner at HAF and principal with SRH.
Hospitality Asset Funding Group plans a multimillion-dollar renovation of the Tremont House, with work scheduled for completion in 2022. After renovations, the Tremont House will transition to a Marriott soft-branded Tribute property.
“This is a historic hotel and, once our renovation is complete, we will provide a unique, upscale experience for our Galveston guests,” said Paul Barham, partner at HAF and principal with SRH.
In addition to the Tremont House acquisition, HAF recapitalized the Hyatt Place and the Courtyard by Marriott, both owned by SRH Hospitality.
“We were drawn to both the Hyatt Place and the Courtyard by Marriott because they are located in high-growth markets, with strong brands that are well-positioned to be market leaders as the Austin metropolitan area continues to expand,” said Chris Votaw, partner at HAF and an investment analyst at JLM Financial Investments.
These three properties mark HAF’s first portfolio investment since the firm launched in fall 2020. HAF concentrates on distinctive assets tied to reputable brands in expanding markets, pursuing direct acquisitions, recapitalizations of existing properties and selective note purchases.
HAF continues to seek additional acquisition and investment opportunities across the southern United States.
“We have a very positive outlook for the hospitality industry and will continue to pursue opportunities as they arise,” said Larry Meyer, partner at HAF and founder of JLM Financial Investments.
Hospitality Asset Funding Group LLC provides capital market solutions for hospitality assets across the United States. HAF was created as a joint venture between SRH Hospitality of Addison, Texas, and JLM Financial Investments of Austin.
Previously, HAF announced the acquisition of the 228-room Hotel Galvez on Seawall Boulevard.
March 3, 2021 Realty News Report Copyright 2021
File: George P. Mitchell Galveston. Mitchell Sells Historic Hotel
Image: Courtesy Hospitality Asset Funding Group