Lessons from completing hundreds of RE transactions valued at over $8 billion - Greg Friedman - CEO of Peachtree Hotel Group

Sep 13, 2023

Greg Friedman, CEO of Peachtree Hotel Group, discusses building Peachtree, the appeal of hospitality as an asset class, vertical integration, making money buying debt, learnings from previous cycles, managing reputation in a debt environment, the importance of managing P&L, holding investment committee meetings on Fridays, touring assets, and investment trends in the hospitality industry.

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Introduction

00:00 • 2min

Peachtree Hotel Group: Navigating Economic Cycles and Opportunities in Hospitality Investments

01:44 • 10min

Vertical Integration: A 360-Degree View of the Real Estate Market

12:12 • 25min

Holding Investment Committee Meetings on Fridays and the Importance of Thorough Analysis

37:11 • 2min

Touring and Approving Assets: Pre-Screening and Due Diligence

38:58 • 11min

Investment Trends and Strategies in the Hospitality Industry

49:28 • 4min

Favorite hotels, financing possibilities, and contact information

53:30 • 3min

Greg has successfully led Peachtree in more than $9.0 billion in acquisitions, investments, and development since co-founding the company. He has more than 24 years of hospitality experience with an emphasis on deal-structuring and financing and was formerly Senior Vice President of Business Development for Specialty Finance Group, originating more than $2.0 billion of hotel debt.

Peachtree Hotel Group's track record spans more than 580 real estate transactions and $8.0+ billion in total capitalization of real estate assets.

Connect & Invest with Jake: Follow Jake on Twitter: https://twitter.com/jwurzak Take the Hospitality Investing Masterclass: https://learn.jakewurzak.com/ Learn How to Invest with DoveHill: https://bit.ly/3yg8Pwo

Links:

Peachtree Hotel Group

Greg on LinkedIn

Ritz Reserve Dorado Beach

The Montage Laguna Beach

Topics:

(00:01:44) Building Peachtree

(00:06:52) Why was hospitality intriguing as an asset class?

(00:09:04) Do you ever feel capped by the amount of capital you can raise by only being in hospitality?

(00:12:12) How important is vertical integration?

(00:17:33) How have you made money buying debt?

(00:24:29) What were some learnings you’ve had from previous cycles?

(00:28:26) How do you manage your reputation and perception while playing in a debt environment?

(00:31:40) How critical is it to manage your P&L?

(00:37:10 Holding investment committee on a Friday

(00:38:57) Do you tour every asset?

(00:40:25) What are the most interesting opportunities to you on the equity side right now and the near future?

(00:44:30) How much emphasis are you placing on the actual real estate vs. the operating company?

(00:46:40) Selling a fully renovated hotel vs. selling a hotel that needs renovation

(00:49:27) What are some trends you’re seeing in hospitality that could be interesting investments?

(00:51:54) Are you working on any conversions?

(00:52:05) Would you ever break any of your verticals off or use them to buy another company?

(00:55:34) What’s your favorite hotel?