Encore Hospitality (“EH”) is a private real estate acquisition, development and management company focusing on the upper mid-priced, branded select service and full-service hotel's sector. Encore Hospitality is a subsidiary of Encore Enterprises, Inc. (“Encore”) and has grown significantly since its founding in 1999. Below is a timeline of our accomplishments:
1992-1999: The Beginning
Dr. Bharat Sangani, founder of Encore Enterprises, Inc., develops and/or acquires seven hotel assets. These assets are centralized, leading to Encore’s strategy of capitalizing on sophisticated management information systems to improve the performance of select service hotels. Focus of acquisition and development shifts from independent and lower-ranked economy hotels to highly recognizable, branded hotels such as Marriott and Hilton.
2001: Encore Acquires Pineapple
Encore acquires Pineapple Management Services, Inc. (“Pineapple”), a select service hotel development and management company focusing on Marriott branded properties as well as 10 Fairfield Inns and one Courtyard. Pineapple provides all day-to-day hotel property operations and asset management to EH and select third parties, establishing EH as a leading franchisee of select service hotels and positioning the company to amass a sizable portfolio of attractive, but underperforming, first-tier brands affiliated with Marriott and Hilton.
2003: Growing the Portfolio
By the year's end, EH’s hotel portfolio consists of 14 properties, including 11 Fairfield Inns, one Wingate Inn, one Courtyard Marriott and one Best Western. Since the acquisition of Pineapple in 2001, EH increases its NOI by over 13 percent, despite the downturn of the economy following 9/11.
2004: Entering into Joint Ventures
EH begins attracting other investors and enters into its first joint venture to acquire three Fairfield Inns and one Townplace Suites, followed by three additional joint venture acquisitions: Residence Inn in San Antonio, Texas; Fairfield Inn in Savannah, Georgia; and Ramada Inn in Grapevine, Texas, which EH converts to a Fairfield Inn and Suites.
2005: Acquiring More Hotels
With 21 hotels in its portfolio, EH partners with strategic investors, enabling EH to move more swiftly and take advantage of larger transactions. By the year's end, EH acquires nine Hampton Inns, one Courtyard, one Residence Inn, one Homewood Suites and one Radisson Hotel for a total of 14 acquisitions.
2006: Changing Directions
EH acquires three more hotels in the first two months: two Residence Inns and one DoubleTree Hotel. In the fall, with a portfolio of 37 hotels, EH decides to sell its portfolio through Hodges Ward Elliott (HWE).
2007: The Sale of 35 Properties
EH sells 35 of its 38 properties in five separate transactions to instituional investors. The sales proceeds represents an overall rate of return of 49%.
2008: New Direction
EH continued the divestment of the hotel portfolio by selling four more properties in 2008. In September2008, EH announced the acquisition of Sterling Resorts, one of the largest resort management companies in the United States.
Today: New Acquisitions and Continued Growth
EH owns and operates a 120-room Hampton Inn in San Antonio, Texas, and a 211-room Radisson Hotel on the grounds of the Memphis International Airport in Memphis, Tennessee. EH also has three hotels under construction in Mississippi and Alabama, and recently acquired Sterling Resorts and its 19 condominium resorts in Florida and Mississippi.
