INVESTMENT
Terrapin Hospitality ’ s Residence Inn Port St . Lucie , Florida
owners love their results .” Sherman says Waramaug ’ s very good relationships with institutional capital partners will help the partnership buy more assets , but they will remain very conservative in their approach . “ Growth is really going to come from buying other management companies and earning more management contracts from existing owners and new owners ,” Sherman says .
That said , not long after the K Partners deal , Terrapin was buying two properties in Glenwood Springs , Colorado , and together with Waramaug was acquiring a Radisson in Lansing , Michigan , that will convert to a DoubleTree and be managed by Terrapin . On its own , Terrapin owned 12 hotels in early November with an estimated value of US $ 200 million .
Sherman says that he is spending most of his time pursuing new third-party management contracts , adding that along with Waramaug ,
Terrapin was bidding on two portfolios .
“ One of the attractions of buying K Partners , in addition to buying good contracts and good cash flow , was getting Shawn Kvernen , who has joined Terrapin as senior vice president of Business Development , as well as Jack Nash ( vice president of business development ),” Sherman says . “ They are development guys who can help us grow the company organically by pursuing more thirdparty management contracts . And we have a very good pipeline both of portfolios and one-offs that we ’ re pursuing . It ’ s very exciting because they have a lot going on , and now with the additional resources of Terrapin , they can go after larger properties and portfolios .”
In fact , Sherman expects another five hotel deals to close before the end of the year . “ I think we ’ ll be at over 100 by the end of Q1 2022 ,” he adds .
As for the deals the new team is sourcing , Sherman said they are finding companies that just haven ’ t been happy with their current management companies , “ some of the very large , national ones .” He said too many owners are getting the attention they need and Terrapin is finding opportunities with owners that are looking for more aggressive and nimble management companies .
“ Every owner has my cell phone number , and I got into hotel management because I was so frustrated with the way I was treated by other hotel management companies that wouldn ’ t return my calls … I know how that feels ,” Sherman explains . “ I want to treat every owner , every employee and every guest the way I want to be treated , which is with respect and courtesy . I find that works , and it ’ s simple . That ’ s our corporate culture .”
Sherman takes his availability a step further by having his phone number posted on every time clock at every property and his email
26 hotelsmag . com January / February 2022