Interstate Hotels & Resorts takes over management of a 65-hotel portfolio
- February 16, 2011
Summit is a newly formed real estate investment trust (REIT) that closed an initial public offering Monday that raised about $253 million.
Summit’s portfolio, with 6,533 rooms, is located in 19 states. Based in Sioux Falls, S.D, Summit operates primarily under middle market brands such as Marriott, Hilton and IHG.
“We have extensive experience in assuming management of large portfolios and expect the transaction to be transparent to our guests and our 1,800 new associates,” said Thomas F. Hewitt, Interstate’s chairman and CEO, in a statement.
Interstate, the country’s largest independent hotel management company, also recently took over a 13-hotel collection of full-service hotels with 5,466 rooms owned by affiliates of The Blackstone Group. It also has signed 20 individual management contracts for hotel properties in China, India, Russia and the U.S. “We believe there will be a significant number of hotels changing hands over the next few years, which is the most likely time that hotels will change management,” said Hewitt.