Noble Investment Group has raised more than half of its target for its latest value-added fund. Documents from the US Securities and Exchange Commission reveal that the Atlanta-based hospitality real estate investment specialist has garnered $101.68 million in equity commitments on behalf of its Noble Hospitality Fund II, which is seeking a total of $200 million.
Through the vehicle, Noble plans to acquire, redevelop and repurpose lodging properties that are affiliated with such brands as Marriott, Hyatt, Starwood and Hilton. The firm will focus on hospitality assets in first-tier markets across the US. Representatives from Noble declined to comment.
According to various media reports, Noble has been marketing Fund II to investors that include pension funds, endowments and high-net-worth individuals. New York-based placement agent Allegro Advisors is advising the firm in its fundraising efforts.
Fund II follows the strategy of Noble’s prior vehicle, Noble Hospitality Fund, which closed on $310 million in February 2007. Prior funds include Noble Investments, which closed in 1999 with approximately $40 million in equity, and Noble Parallel Fund, which closed in 2003 with $182 million in equity and co-investments, according to the firm’s website.
Last month, Noble purchased the Courtyard by Marriott in Columbus, Ohio, for $11.9 million. Other acquisitions made by the firm include the Embassy Suites Cleveland in Beachwood, Ohio for $8.1 million in September and the Hilton Garden Inn in Monterey, California in May.
Founded in 1993, Noble specializes in making value-added and opportunistic investments in the lodging and hospitality real estate sector. Through its private equity real estate funds, the firm has invested more than $2 billion in hotels throughout the US.