LOS ANGELES–April 15, 2024–Partners Group, a leading global private markets firm, has agreed to acquire a strategic minority stake in Trinity Investments, a U.S. based hospitality-focused real estate investor, to support its future growth. Partners Group will initially target a U.S. $500 million investment with Trinity and will also have the opportunity to commit further capital to Trinity’s North American, European, and special situations investment platforms.
Partners Group’s acquisition of a strategic minority stake in Trinity aligns with the firm’s strategy to invest in real estate operating companies in order to provide exposure to the full value chain across the asset lifecycle. Future capital commitments from Partners Group will support Trinity in executing on investment opportunities and expanding its platform both in the U.S. and across new geographies, including Europe.
“We are grateful to have held a long-standing relationship with Partners Group, and that the firm has committed to investing alongside Trinity so that we can continue to build a preeminent global hospitality program together,” said Sean Hehir, Managing Partner, President, and CEO of Trinity. “We see an abundance of opportunities to deploy our sophisticated platform for hotel real estate, re-positioning, operation and asset management into new hotel assets and credit investments both in North America and abroad.”
“We are investing in real estate operating companies in order to gain vertical depth in sectors and geographies where we have strong thematic conviction. Trinity has nearly three decades of experience in the hotel real estate asset class and that depth of knowledge shines through,” said Jason Longo, Member of Management, Real Estate Americas, Partners Group. “We believe Trinity’s value-add approach closely matches our focus on value creation. Through our more integrated relationship, we will build platforms that could unlock attractive returns for our clients.”
In October 2023, Trinity announced the opening of its London office under Managing Partner Ryan Donn. The global expansion followed an active year for Trinity, during which the firm was one of the largest buyers of hotels in the United States. In January, Trinity received the 2023 Transaction of the Year Award1 for deals over U.S. $25 million at the 2024 Americas Lodging Investment Summit (ALIS), one of the region’s largest hotel conferences.
Trinity and Partners Group acquired The Scottsdale Plaza Resort & Villas earlier this month, extending the partnership between the two firms, which began with their first joint venture in 2022 with The Las Colinas Resort in Dallas, which recently converted to The Ritz-Carlton Dallas, Las Colinas.
Jeff Altman, Senior Managing Director in JLL’s M&A and Corporate Advisory group, and Jones Lang LaSalle Securities, LLC, an affiliate of Jones Lang LaSalle Americas, Inc., served as financial advisor to Trinity Investments in connection with the Partners Group transaction.
1 Awarded January 23, 2024. The ALIS Single Asset Transaction of the Year Award recognizes a hotel or resort in which more than a 50 percent ownership stake has been acquired in the Americas between January 1, 2023, and December 31, 2023. Nominations are reviewed according to the following criteria: (i) pricing metrics, financing specifics, yield, and anticipated return on investment, and value implications (ii) activeness of buyer/seller/brand/operator in structuring/completing the transaction (iii) unique challenges faced.
