Certares wraps up initial real estate hospitality fund at $284m

• The fund’s investments include the Sea Crest Beach Hotel in Cape Cod, the Courtyard San Diego Downtown and the EAST Miami
• The fund has generated a net IRR of 35 percent and a 1.4x multiple on invested capital as of March 31, 2023
• Established in 2012, Certares has approximately $9.9 billion of assets under management, including co-investments, as of March 31, 2023

Certares, a New York City-based investment firm focused on the travel and hospitality industries, has closed its inaugural real estate hospitality fund at $284 million.

Certares Real Estate is focused on acquiring hospitality real estate assets in growth markets and gateway cities across the U.S.

Since its launch in March 2021, the fund has made investments in 10 hotels. Its investments include the Sea Crest Beach Hotel in Cape Cod, the Courtyard San Diego Downtown and the EAST Miami.

The fund has generated a net IRR of 35 percent and a 1.4x multiple on invested capital as of March 31, 2023.

“A targeted real estate strategy is a natural extension of our experience in travel and hospitality and provides another avenue for us to create value for our investors by capitalizing on our extensive industry expertise,” said Greg O’Hara, founder and senior managing director at Certares in a statement. “COVID-19 caused unprecedented disruption across the entire travel industry. As demand has returned robustly, hotels represent a category where investors who know the industry well can identify attractive assets.”

Established in 2012, Certares has approximately $9.9 billion of assets under management, including co-investments, as of March 31, 2023.