AMS Hospitality—comprised of The Allen Morris Company and Stormont Hospitality Group—and Miami-based national commercial real estate investment firm Black Salmon have formed a joint venture with plans to acquire $300 million in hospitality assets across the U.S. within the next 18 months.
The partnership between AMS Hospitality and Black Salmon leverages the strengths of both firms across acquisitions, asset management and capital raising. The JV will seek hotel properties that have undergone a price reduction from pre-pandemic values.
As a national firm, Black Salmon’s investment strategy focuses on acquiring stabilized assets, in addition to value-add opportunities, in high growth markets with an educated workforce, a robust technology industry and strong market fundamentals. The company has amassed a nearly half a billion-dollar portfolio, which includes office and senior housing assets and now hospitality.
AMS Hospitality was realized earlier this year, combining The Allen Morris Company, a diversified real estate firm, and hotel developer and asset manager Stormont Hospitality.
The December acquisition of The Pelham Hotel, a 65-room boutique property in New Orleans, is the JV’s first acquisition. The Pelham Hotel is designated a historic landmark and set adjacent to the French Quarter, within the city’s central business district. The property will undergo a complete, multimillion-dollar renovation of the ground-floor lobby, public areas and guestrooms. New Orleans-based HRI Properties has been selected to provide property-management services for the hotel.