Chatham Lodging Trust, a lodging real estate investment trust (REIT) that invests in upscale, extended-stay hotels and premium-branded, select-service hotels, announced the sale of its 10.3 percent interest in the Innkeepers joint venture with Colony Capital for $2.8 million.
“This sale culminates a very successful joint venture investment for Chatham since we partnered with Cerberus to buy the Innkeepers portfolio out of bankruptcy in 2011,” highlighted Jeffrey H. Fisher, Chatham’s president and chief executive officer. “Originally investing $37 million for our interest, this has proven to be a very profitable investment for Chatham and our shareholders. Alongside Cerberus, our investment returned profit of approximately $80 million by the time Cerberus sold its interest to Northstar Realty Finance (which ultimately merged with Colony) in 2014. Since then, we received distributions of $22.2 million, bringing total returns to over $100 million.”