TPG Portfolio expands to 17th State, Surpasses
R.I., Dec. 1, 2006 - Rhode Island-based real estate developer/hotelier,
The Procaccianti Group (TPG), announced today the purchase of the Hyatt
Regency Lexington. Located in Lexington, Kentucky, the hotel was purchased
from Goldman Sach's Whitehall Street Real Estate Fund and affiliates of
Highgate Holdings for an undisclosed amount. The hotel will continue to
operate as a Hyatt Regency under a license agreement with Global Hyatt
"Lexington is a very dynamic hospitality market," said Procaccianti
Group Chief Investment Officer Rob Leven. "We think that the Hyatt Regency
has the potential to be the premiere hotel in the market due to its location
at the very center of downtown Lexington along with its connection to Lexington
Center and Rupp Arena. Our extensive plans for renovating and positioning
this hotel will again establish the Hyatt Regency in its rightful place
as the true market leader."
Global Hyatt Corporation has recently developed a limited franchise
program for a select group of qualified operators for hotels that meet
certain criteria. "TPG has demonstrated the proven expertise and systems
to maintain Hyatt's exacting standards, and the Hyatt Regency Lexington
is a good fit for our program," said Steven R. Goldman, Global Hyatt Corporation's
executive vice president of acquisitions and development.
As a new franchise operator for Hyatt, TPG will look to continue to
grow its portfolio of hotels by adding Hyatt to its stable of brands. "We
are honored to be approved as a franchise operator by Global Hyatt
Corporation, and we intend to deliver the quality and high guest
satisfaction that distinguishes Hyatt Regency convention center hotels
from those of other upscale brands," Leven said. "TPG will look to bring
other new acquisition and development opportunities to the Hyatt system."
The 365-room Hyatt Regency Lexington is an integral component of a
mixed- use development known as Lexington Center. Lexington Center encompasses
a downtown city block bordered by Broadway to the east, West High Street
to the south, Patterson Street to the west and Vine Street to the north.
The Center, which completed a twenty-four month, $52-million renovation
and expansion in September 2004, includes the Lexington Convention Center,
which has 66,000 square feet of exhibition space and 40,000 square feet
of meeting rooms. Lexington Center also offers the 23,600-seat Rupp Arena,
home of the University of Kentucky Wildcats; the Lexington Opera House,
a vintage theatre that seats more than 1,000; and the Shops at Lexington
Center, a 75,000-square-foot shopping mall.
TPG's expertise includes working closely with entities similar to the
Lexington Center Corporation. "We have a great track record of coming in
and building strong relationships between the headquarter hotel and the
convention center," said Leven. "We plan to continue to build upon the
positive relationship that the Hyatt Regency currently has with Lexington
Center and the Downtown Development Authority."
Downtown Development Authority president and CEO Harold Tate told Tom
Martin of Business Lexington, "This is a great step in the continuing positive
efforts toward the redevelopment of downtown. With the completed renovation
of the Lexington Center, the rehabilitation of the Hyatt Regency, the completion
of 500s on Main and all the other activities downtown, our downtown will
become the 'Gem' of the Bluegrass."
About The Procaccianti Group (TPG)
The Procaccianti Group (TPG) is a second generation, privately held
real estate investment company that specializes in acquisition, renovation
and management of investment real estate. TPG has owned or developed over
17 million square feet of real estate valued at more than $4 billion. TPG
is comprised of various companies engaged in hospitality management, mixed-use
development, design and construction, purchasing, property management,
asset management and lending.
TPG currently owns 47 hotels totaling 12,195 guest rooms in 17 states
and employs approximately 6,000 people from coast to coast with 200 professionals
based at the corporate headquarters in Rhode Island. The Procaccianti Group
is one of the top ten of privately held hotel owner/operators in the United
About Global Hyatt Corporation
There are 217 Hyatt branded hotels and resorts (over 90,000 rooms)
in 43 countries around the world, operating under the Hyatt(R), Hyatt
Regency(R), Grand Hyatt(R) and Park Hyatt(R) brands. Currently, there
are an additional 47 Hyatt hotels and resorts under development, including
15 new hotels in China. Global Hyatt Corporation is also the owner of Hyatt
Vacation Ownership, Inc. operator of the 12 Hyatt Vacation Club timeshare
and fractional residential properties, Hyatt Equities, L.L.C. (hotel ownership),
Select Hotels Group L.L.C. (which owns, manages and franchises 163 AmeriSuites
hotels, Hyatt Place and Summerfield Suites hotels) and U.S. Franchise Systems,
Inc. (which franchises 95 Hawthorn Suites, and 265 Microtel Inns and Suites).