INVESTMENT
by the second quarter of next year and our pipeline is very , very active across multiple segments . We are going to use the soft brands of Tapestry , LXR Hotels & Resorts and Curio as a primary driver , but we do see ourselves hopefully going into some of the hard brands of Hilton as we get into ultra-luxury .
We are looking at North America and the Caribbean as our primary focus and the parameters for acquisitions will be on a case-bycase basis . This is an opportunity fund , meaning that we are looking for value based on our investment criteria .
H : Who ’ s going to manage the properties ? RT : We have right now an assortment of potential managers in the case of the current assets . We have Highgate managing the Gabriel South Beach and we have Davidson managing the Gabriel downtown asset . Hilton will manage the Morris Brown . We ’ ll evaluate management on a case-by-case basis and we ’ ll lean on Hilton for their advice and guidance , depending on the particular market and how they view the manager ’ s strengths in each of these unique opportunities as we acquire assets .
H : Why exclusive with Hilton for the flags ? RT : I ’ ve had a relationship with Hilton for close to nine years , but it ’ s developed much closer , I would say , in the last three years between myself and Chris [ Nassetta ]. So , there was an alignment based on something very rooted in a comfort level with the executive team there . But I think the philosophies of the two organizations align very well . Hilton has a strong emphasis on all mandates around ESG . They also have been a big proponent of seeing greater representation and ownership by minority groups . So , I think that was something that was also aligned in terms of their vision and ours … More importantly , the underscoring thesis behind CCH making an impact in the social realm was something that we clearly were aligned with Hilton and seeing from their organizational perspective to ours is a natural fit .
H : Can you talk about the structure of the deal with Hilton ? RT : It ’ s a long view of acquiring , amassing collectively multiple assets over the next three years . We are committed to them exclusively , in this regard . We ’ re deploying US $ 650 million of equity capital , which by the time we get done will be close to US $ 1.2 billion in asset value through the Hilton pipeline . In exchange , there will be resources given to us that will be substantial , and we are leaning in to those resources , from market
Library at the Gabriel Maimi downtown