SBG announces majority investment into $AUD90million Hotel, Theatre and Office Development in Charlotte, USA

SBG today announced its investment into the InterContinental Charlotte Uptown Hotel, a new InterContinental branded, 252 room full service luxury hotel development in Charlotte, North Carolina, USA.

This transaction marks SBG’s first move into the USA property market and leverages off the partnership established with IHG, following the $AUD500 million acquisition of an IHG Hotel Portfolio in Australia in December 2015 by SBG Hotel Group.

Managing Director of the SBG Hotel Group, Mr. Paul Salter said in announcing the investment today in Charlotte, “We are delighted to be expanding into the USA hotel sector with our partners IHG, Valor Hospitality Partners, and Foundation for the Carolinas (FFTC), an entrusted partner of the City of Charlotte, for what is a dynamic and transformative development for the city.”

Charlotte is experiencing significant economic and population growth, and as the second largest banking centre in the USA, has demonstrated very strong demand for hotel rooms in recent years, particularly in the luxury hotel room category.

Mr. Salter said “the unique project opportunity represents a logical expansion of SBG’s hotel business interests. We have been looking at the USA market for over 12 months and this project marks the first of many opportunities for our investors to access high quality assets in the US property sector, for which we have seen a high level of investor demand”.

With its sights firmly set on growth in the USA, Mr Salter confirmed SBG currently has other hotel projects in its USA pipeline.

Project Highlights:

  • Total Project Value: $US70 million / $AUD90 million
  • Project Commencement: June 2017
  • Project Partners: Valor Hospitality Partners and Foundation for the Carolinas (FFTC
  • Project Scope:
    • 26 Story, 252 room full service luxury hotel development with 2,100 metres of meeting space, a spa and a two-story rooftop restaurant;
    • Restoration of the historic Carolina theatre, restoring the property to its original grandeur and incorporating state-of-the-art technology, making the theatre a showcase for live theatre, concerts and large meetings;
    • A new atrium and office development connected to FFTC’s downtown Charlotte headquarters with 2,000 square metres of high end meeting and event space
    • Project Location: in the heart of downtown Charlotte, with direct access to Bank of America’s Corporate Headquarters and a large concentration of A grade office tenants.

Related News in Charlotte Press, USA: 28th March 2017

http://www.charlotteobserver.com/news/business/biz-columns-blogs/development/article141219248.html

About SBG

SBG (salterbrothers.com.au) is a Funds Management business, founded by Salter Brothers Asset Management.

The Group creates unique and exclusive investment opportunities, focusing on specialist property, with the flagship being the SBG Hotel Group.

About SBG Hotel Group

SBG Hotel Group (www.sbghotelgroup.com.au) was formed in December 2015 by Salter Brothers Asset Management to acquire a $500 million IHG Hotel Portfolio.

SBG Hotel Group’s strategy is to build a $1 billion plus hotel group in Australia, with future growth from either acquisition and/or development of 3 to 5 star hotels, located predominately along the eastern seaboard and select regional areas of Australia.

For further information, contact:

Robert Salter
Chief Executive Officer
SBG

M: +61 413 334 177
E: robert.salter@sbggroup.com.au