A hotels investment venture between Partners Group-backed Trinity Investments and Oaktree Capital Management has added a luxury lifestyle hotel in the UK’s capital to its portfolio.
Trinity, Oaktree real estate funds and Partners Group have invested an unspecified sum to acquire The Standard, London, a 266-room hotel located in King’s Cross owned by Hyatt Hotels Corporation.
Last month, Hyatt announced the completed acquisition of Standard International, the parent company of The Standard and Bunkhouse Hotel brands.
Ryan Donn, managing partner of Trinity Investments, said: “We see huge potential to build upon this strong foundation by collaborating with Standard International, following its incorporation into the Hyatt family of brands, and solidify the hotel’s position as a leading luxury lifestyle destination in Europe. The hotel is the perfect addition to Trinity’s quickly expanding portfolio in Europe.”
Trinity and Oaktree formed a joint venture in August 2017 to invest up to $3bn (€2.8bn) in hotels.
Benjamin Bianchi, managing director and head of Europe for Oaktree’s real estate business, said: “This investment marks yet another milestone in our joint venture with Trinty and aligns with our confidence in the growth potential of Europe’s luxury lifestyle sector.
“Our long-standing partnership with Trinity dates to 2017, and we have since acquired nearly 5,000 hotel keys, representing close to $3bn in asset value.
“It also highlights the strength of our ownership model and our ability to repeatedly collaborate with global brands such as Hyatt, strategically investing in the property and its operations to fully realise the potential of a flag like The Standard.”
In April this year, Partners Group made an initial $500m investment for a minority stake in US-based hospitality-focused real estate investor Trinity to support the firm’s future growth. The pair previously teamed up for their first joint venture in 2022 with The Las Colinas Resort in Dallas and earlier this year the partnership acquired The Scottsdale Plaza Resort & Villas.
Stephen McCall, MD at Partners Group, said: “We are delighted to have the opportunity to acquire such an iconic hotel as we continue to build our focus on global hospitality as a priority investment theme.
“The Standard, London is our third acquisition with Trinity, and the first in Europe since we announced our strategic partnership in April. The speed with which Trinity has been able to establish its presence in Europe is a testament to the quality of their team and further reinforces our conviction in this partnership and the sector.”
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