KHP Capital Partners Closes $300 Million Hotel Investment Fund

Whats Happening:

KHP Capital Partners, a private real estate investment firm focused on lifestyle hotels, has closed its sixth discretionary real estate fund with $300 million in commitments. The fund, KHP Fund VI, will continue the firm's value-add strategy of acquiring and renovating properties to be positioned as leading lifestyle hotels. With co-invest equity and leverage, the fund is expected to have nearly $1 billion in buying power.

Key Moves:

• KHP Capital Partners closes $300 million for its sixth discretionary real estate fund

• Fund will focus on acquiring and renovating properties for lifestyle hotel positioning

• KHP expects to invest in 8 to 10 projects through this fund over the next two years

By The Numbers:

• KHP Fund VI has $300 million in commitments

• With co-invest equity and leverage, the fund expects nearly $1 billion in buying power

• KHP has grown to $1 billion of equity under management over the last ten years

Key Quotes:

• "We are very pleased with the level of investor support for this new fund," Ben Rowe said.

• "The final closing of our sixth fund comes at the perfect time to capitalize on the lingering distress from COVID and the elevated interest rate environment," said Jeff Stulmaker.

Bottom Line:

KHP Capital Partners' successful closing of its $300 million sixth fund demonstrates strong investor confidence in the firm's value-add strategy for lifestyle hotels. With nearly $1 billion in buying power, KHP is well-positioned to capitalize on current market conditions and make compelling investments in major U.S. markets and select leisure destinations over the next two years.

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