Montage Hotels & Resorts and Ares Management announce strategic investment partnership

ORANGE COUNTY, CALIF. - Montage Hotels & Resorts and Ares Management, L.P. announced that a real estate fund managed by Ares has made a strategic investment in Montage Hotels & Resorts, a leading luxury hospitality management company. As part of the transaction, Ares will purchase a minority stake of up to 20% in Montage Hotels & Resorts. Ares also will provide up to $200 million in future growth capital to Montage Hotels & Resorts, with a strategic focus on the continued expansion of its portfolio of Montage- and Pendry-branded hotels and resorts.

As the company's largest shareholder, Alan J. Fuerstman will remain at the helm of Montage Hotels & Resorts, continuing to serve as the Founder and CEO, as well as Chairman of the Board. All original investors in Montage Hotels & Resorts also remain invested, including Ohana Real Estate Investors. Jay Glaubach, a Managing Director at Ares Management and Co-Portfolio Manager of Ares' opportunistic real estate funds, now joins the Montage Hotels & Resorts Board of Directors.

"We are delighted to welcome Ares into the Montage family," said Mr. Fuerstman. "We greatly admire the vision, culture of excellence and track record of investment success that the Ares team has established over the last several years. With the continued support of our original investors and now also with Ares, Montage Hotels & Resorts is poised for tremendous growth and success in the years ahead."

"We are excited to be making this investment on behalf of our investors because of the unparalleled caliber of Montage's existing portfolio and its management team. Montage continues to achieve superb financial results for its owners as well as provide exceptional service to its loyal guests and residents. We see tremendous growth opportunities for the company, and look forward to working with Alan and the team to continue to build out this leading platform," said Mr. Glaubach.

This transaction marks the second Ares investment with Montage Hotels & Resorts. Funds managed by Ares made an investment in Pendry San Diego, part of the company's new luxury lifestyle brand, Pendry Hotels. The new hotel will debut in San Diego's historic Gaslamp District in the fall of 2016.

"This transaction comes on the heels of our company and our hotels having achieved our best-ever operating results, with even further growth anticipated for 2016 and beyond," added Mr. Fuerstman. "The future is bright."

Dentons served as counsel to Montage Hotels & Resorts.