SANTA FE, NM- PCCP, LLC announced today it has formed a joint venture with 1754 Properties LLC to acquire La Posada de Santa Fe Resort and Spa in downtown Santa Fe, New Mexico. The 158-room La Posada hotel was an REO acquisition from Ektornet.
“This acquisition was a strong fit for PCCP’s joint venture equity program because it provided us with the opportunity to buy an irreplaceable asset located in a high barrier to entry market,” said John Randall, senior vice president with PCCP, LLC. “1754 Properties is a knowledgeable hotel owner and operator that understands the Santa Fe market. We will work in conjunction with the firm to renovate and rebrand the asset as La Posada de Santa Fe Resort & Spa, a Luxury Collection Resort.”
Kevin Chin, vice president with PCCP, added that 1754 Properties has an intimate knowledge of La Posada, having owned the property through a prior partnership for almost three years before selling it to the prior owner in 2007.
“PCCP’s decisive actions, ability to move quickly, and favorable institutional reputation were key components in this acquisition. We look forward to consummating many more deals with them in the future as our firm seeks other institutional hotel assets across the country,” said Joe Smith, CEO of 1754 Properties LLC.
The new ownership plans to implement $5 million of property improvements to rebrand the full service resort hotel under Starwood Hotels & Resorts’ The Luxury Collection brand.
Santa Fe, the state capital of New Mexico, is among the most prominent leisure destinations in the southwest. In fact, Santa Fe was recently ranked second on Conde Naste Traveler’s 2013 top ten cities in the United States list. The city welcomes approximately 1.6 million visitors annually, which is driven by the local art market – the fourth largest in the country in terms of gross sales, only behind New York, Los Angeles, and San Francisco. Its growing tourism industry and diverse economic base has led three airlines (United, Jet Blue and Frontier) to add or initiate flight service to Santa Fe recently in 2013.
PCCP, LLC is a premier real estate finance and investment management firm focused on commercial real estate debt and equity investments. PCCP has over $6 billion in assets under management on behalf of institutional investors. With offices in New York, San Francisco, Sacramento and Los Angeles, PCCP has a proven track record for providing real estate owners and investors with a broad range of funding options to meet capital requirements. PCCP originates and services each of its investments, ensuring that clients benefit from added value and outstanding investment returns. PCCP has invested more than $6.5 billion throughout the United States and continues to seek investment opportunities with proven operators seeking fast and reliable capital. Learn more about PCCP at www.pccpllc.com.
1754 Properties LLC is an institutional owner and operator of hotels and apartment communities across the United States. The principals of 1754 have owned over $1.5 billion of properties across 22 states with a wide range of reputable investors including international private equity funds, investment banks, corporate pension plans of Fortune 500 companies, public pension plans, endowments, family offices and high net worth investors. Additional information about 1754 Properties may be found at the company’s website www.1754properties.com.