Ardent Hotel Advisors has launched a private equity real estate firm in partnership with former Everest Holdings acquisitions executive Steven Surgent, who has been appointed principal of the firm.
Ardent Hotel Investors (AHI) will initially invest high-net-worth capital targeting branded hotel assets valued at between $25 million and $75 million in the top 25 US cities, according to Surgent. In the future, the firm will seek co-investment opportunities in the US with institutional limited partners.
AHI will look to acquire up to 15 value-added assets over the next three years, Surgent said, although given the current climate, the firm was in “no rush to invest.
“We are actively pursuing a number of deals but there is a large bid and ask spread,” Surgent added.
The next six to nine months would see continued “pain” in the US hospitality sector, Surgent warned, with fundamentals, such as net operating income (NOI) and revenue per available room (RevPar), coming under increasing pressure.
“It’s going to be a very tough environment. I don’t think we’ve seen this kind of environment post-war, that’s why today is a good time to be getting ready to purchase,” Surgent said.
Surgent was previously vice president of acquisitions for Arizona-based real estate investment company, Everest Holdings. Ardent Hotel Advisors is a hotel management and asset management company, focusing on western US.