Abernathy MacGregor Group represents Starwood Capital Group as it joins Blackstone Real Estate Partners to acquire Extended Stay America for $6B in cash.
Charlotte-based ESA is the leading player in the mid-priced category, with 650 hotels that operated at 74 percent capacity in 2020.
ESA “demonstrated resilience over the past year despite persistent challenges due to government lockdowns and travel restrictions,” Barry Sternlicht, Starwood CEO, said in a statement.
Starwood has more than $75B in assets under management. Travel and leisure is a key investment category for Blackstone, which helped launch ESA almost 20 years ago.
Abernathy MacGregor CEO Tom Johnson and managing director Dan Scorpio handle Starwood Capital.
Their firm is part of France-based Havas Group’s AMO network.