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THE MANAGING PRINCIPALS of Atlanta-based Peachtree Hotel Group are forming a new company, Peachtree Group, to oversee its investment portfolio. Peachtree's hospitality division includes Peachtree Hotel Group, Peachtree Hospitality Management and Peachtree Hospitality Development. The new company will manage and control investments and direct investment strategies across different divisions, including hospitality, commercial lending, residential development and capital markets, the company said in a statement. The company is expanding in those areas, said Greg Friedman, Peachtree's CEO and managing principal. "The expanded breadth of investment types we are undertaking warranted the formation of Peachtree Group without hotel in the moniker," Friedman said. "This transformative structure provides a significant opportunity to unlock the full potential of our integrated real estate investment platform that has served us well in the hospitality sector to expand into other real estate sectors and businesses.

PEACHTREE GROUP RECENTLY signed a long-term agreement with Southfield, Michigan-based Group 10 Management, adding 14 hotels and 1,648 rooms to its managed portfolio. This expansion brings Peachtree's total managed properties to more than 100, primarily Marriott, Hilton, and IHG-branded hotels in the metro Detroit area, Peachtree said in a statement. Peachtree is led by CEO and managing principal Greg Friedman, CFO and managing principal Jatin Desai, and principal Mitul Patel. "Our extensive experience in hotel operations allows us to partner with Group 10 to elevate third-party management," said Vickie Callahan, president of Peachtree's hospitality management division. "A substantial portion of Peachtree Group's portfolio is third-party managed, underscoring our commitment to delivering strong financial results for our partners and exceptional guest experiences." Peachtree's hospitality management division operates limited-, select-, and full-service hotels, primarily in the upper-midscale and upscale segments, the statement said. The division now manages 107 hotels across 27 brands, totaling 13,485 rooms in 27 states, including Washington, D.C. With the Group 10 addition, Peachtree's third-party management portfolio expands to 31 hotels.

PEACHTREE GROUP RECENTLY launched a restaurant management division to operate quick-service restaurants, starting with coffee shops at hospitals, universities, and other high-traffic locations. The venture, led by Daniel Puglisi, senior vice president of corporate operations in Peachtree's hospitality management division, began with a partnership with AdventHealth, opening a Starbucks at AdventHealth Orlando. Peachtree is in talks with other coffee franchises to expand into high-demand markets with captive audiences, aiming to build a strong nationwide portfolio of quick-service coffee shop locations, the company said in a statement. "Since our founding in 2007, we have consistently grown by identifying inefficient markets and capitalizing on them to achieve strong returns and build sustainable businesses," said Greg Friedman, Peachtree Group's managing principal and CEO. "Expanding into restaurants from our existing hospitality management capabilities was a natural evolution. Our partnership with AdventHealth marks a significant milestone as we look to replicate this successful model across their network and other prime locations."

PEACHTREE GROUP, A commercial real estate investment firm with a $6.4 billion portfolio, has closed its third hotel property structured as a Delaware Statutory Trust with the acquisition of the 98-key Hilton Garden Inn in Jackson, Tennessee. The acquisition provides 1031 exchange investors the chance to reinvest proceeds from real estate sales, enjoying tax deferral benefits and maintaining a strong real estate allocation, Peachtree said in a statement. "The hotel's strategic location near healthcare and manufacturing jobs, including Ford's planned $5.6-billion Blue Oval City, along with a diverse collection of entertainment and retail destinations, establishes it as a valuable addition to our expanding portfolio of DST properties," said Tim Witt, Peachtree's president for 1031 Exchange/DST Products. Peachtree launched its DST program in August 2022 and is a top-15 sponsor in the securitized 1031 exchange marketplace, according to Mountain Dell Consulting's year-end market equity update.

PEACHTREE HOTEL GROUP continues to restructure itself, now with two changes to its leadership. Brian Waldman, previously chief investment officer for the company is now filling the same role for the company's newly formed subsidiary Peachtree Group. Also, Jeremy Stoler joins the company as executive vice president of debt capital markets. Waldman will manage Peachtree's multi-billion-dollar investment portfolio and direct investment strategies across its operating, lending and real estate divisions, according to the company. Stoler will support Peachtree's operating companies and growth into other real estate sectors. "With Brian and Jeremy, we are fortunate to have extremely talented, respected leaders who are highly experienced and energized to drive our growth," said Greg Friedman, Peachtree's CEO and managing principal. "These announcements also come at a pivotal time for Peachtree as we further position ourselves to expand into other real estate sectors and businesses."

PEACHTREE HOSPITALITY MANAGEMENT has contracted with TEKMAK Development Co., a full-service hospitality development company, to provide third-party management services for a portion of its hotel portfolio. The three hotels are all in Texas. PHM will assume operations of the SpringHill Suites Dallas Rockwall in Rockwall, Texas, on Aug. 1, and is slated to manage two under-construction hotels, a dual-branded TownePlace Suites by Marriott and Fairfield by Marriott in Paris, Texas, and a TownePlace Suites by Marriott in Forney, Texas, the company said in a statement. "This is the second long-term management agreement we've entered into already in 2023, and we will continue to seek best-in-class partners like TEKMAK as we pursue our own third-party management growth goals," said Patrick Short, PHM president. "Our third-party operated portfolio continues to expand, currently accounting for nearly a third of our entire managed portfolio. We expect to continue growing our third-party portfolio moving forward, ultimately surpassing our owned hotels." A division of Peachtree Group, which is led by Jatin Desai and Mitul Patel as managing principals, PHM operates branded, limited-, select- and compact full-service hotels primarily in the upper-midscale and upscale segments. The company presently manages 92 hotels across 28 brands with 11,186 rooms in 22 states. These three TEKMAK hotels increase PHM's third-party operations to 34 hotels, the statement added.

PEACHTREE GROUP RECENTLY acquired its sixth hotel property structured as a Delaware Statutory Trust, the 90-key Home2 Suites by Hilton St. Augustine in the greater Jacksonville, Florida. This is the third DST offering to close this year. The company's DST hospitality acquisitions provide opportunities for 1031 exchange investors to reinvest proceeds from the sale of appreciated real estate, defer taxes and maintain an allocation in the hotel sector, Peachtree said in a statement. "With its premier location along the I-95 corridor, strong population growth in the surrounding area and St. Augustine's rich historical and cultural appeal, this property is a natural fit for our DST portfolio," said Tim Witt, Peachtree's president of 1031 exchange and DST products. "This extended-stay hotel is well-positioned to meet the needs of leisure and business travelers alike, offering a blend of modern convenience and comfortable accommodations."

PEACHTREE GROUP LAUNCHED its fifth hotel property structured as a Delaware Statutory Trust with the acquisition of the 128-key Residence Inn Tampa Wesley Chapel in Wesley Chapel, Florida. This follows the purchase of its Home2 Suites by Hilton Atlanta Sugarloaf DST in August. Peachtree's DST acquisitions allow 1031 exchange investors to reinvest proceeds from the sale of appreciated real estate, defer taxes and maintain exposure to the growing hotel sector. "The hotel's prime location in the Wiregrass Ranch master-planned community, combined with its proximity to the Wiregrass Ranch Sports Campus, makes it a valuable addition to our growing portfolio of DST properties," said Tim Witt, Peachtree's president of 1031 exchange and DST products. "With activities and tournaments at the 98,000-square-foot sports complex boosting weekend business for the hotel and Pasco County's investment in expanding the facility, we anticipate strong demand from both leisure and business travelers. Further supporting our off-market acquisition is the fact that it was recently appraised for nearly $900,000 above our purchase price."