Woodvale, the Atlanta-based private equity real estate firm, has completed the purchase of four Marriott branded hotel properties across three states in the Southeast. The portfolio, which includes Residence Inn, Courtyard, and Fairfield Inn & Suites brands, located in Georgia, Mississippi, and Alabama, totaling 363 rooms, represents an opportunistic addition to Woodvale’s assets under management. The acquisition closes out a fund raised in 2023 for the purpose of purchasing distressed assets in the Southeast. 

“We’re very excited about these acquisitions and the value they bring to our investors,” said Rahim Charania, Managing Partner of Woodvale. “This fund was designed to capitalize on opportunistic pricing in a unique market environment, allowing our investors and partners to achieve exceptional returns and I feel we were able to meet those goals with this portfolio”  

The debt markets have faced significant challenges in 2024, marked by rising interest rates, a lack of available financing, and a surge of approaching loan maturities across all asset classes. For commercial real estate, these pressures resulted in historically low transaction volumes and sharply declining valuations, creating rare opportunities for well-capitalized investors. Woodvale leveraged these market conditions to acquire the portfolio of four Marriott-branded properties in the Southeast.

The broader real estate market faced significant headwinds in 2024, with many transactions falling apart due to financing constraints. Sellers frequently struggled to find reliable buyers, leading to deals falling through. “Our strategy of purchasing assets all-cash proved to be instrumental, as sellers prioritized certainty of closing,” said Bashir Mansour, Vice President of Acquisitions at Woodvale. “By staying well-capitalized and maintaining an aggressive acquisition approach, we secured favorable pricing while providing sellers with the confidence they needed—a strategy that proved highly effective in this unique market environment.”

The fund’s success has positioned Woodvale to launch a follow-up fund focused on hotel and multifamily acquisitions, expected to deploy in the first half of 2025. “Building on the momentum of our first hospitality fund, we believe there is a continued opportunity to acquire high-quality assets at favorable prices,” Charania added. “The Southeast market remains strong, and we’re optimistic about the opportunities ahead.”