The Crest Group has sold the Danfords Hotel Marina and Spa in Port Jefferson to Cranston, Rhode Island-based TPG Hotel and Resorts.
The price was not disclosed, however, industry sources said it was $40 million.
The deal for the hotel also included the sale of a lease with the Village of Port Jefferson for the management of restaurants and catering facilities at the Port Jefferson Country Club, which TPG will now take over.
The Crest Group had purchased Danfords from Wilton, Conn.-based Westport Property Management in the spring of 2016 for about $16 million. Since that purchase, Crest Group’s Crest Hospitality division has made significant improvements to the property, including added deck entertainment space, a 30 percent increase in docking footage in the marina, elevator access to the main ballroom, room re-configuration, property wide Wi-Fi, and more.
Established in 1986 as the Danfords Inn, some of the buildings on the property date back to the 1800s, when they were used for Port Jefferson’s once bustling shipbuilding trade. The wide-planked wooden floor in the lobby of the hotel actually came from an old sailing ship.
Today, the hotel has 92 guest rooms and suites and more than 14,000 square feet of event space. Its marina offers accommodations for seasonal yachts measuring upwards of 220 feet.
“Danfords is more than just a hotel,” Crest Group CEO Enrico Scarda said in a written statement addressing the hotel staff. “It is a community that you all have permanently improved for generations to come. People come from across the country and around the world for our summer season, and it is people like you who keep them coming back.”
Crest Group COO Daniel Scarda added: “Given the moving pieces during this most difficult past year and fast-paced environment, we were able to make consistent and durable improvements to both properties during our ownership. I couldn’t be prouder of what we built.”
The Danfords transaction marks the last successful deal in the TCG Investment Fund. After returning $50 million in equity capital to its investors and over $125 million in gains in a seven-year span, TCG will seek to re-deploy investor capital into value-add commercial property across a diversified portfolio on the East Coast.
“We see tremendous value in sustainable cashflow property in sub-markets with accelerating demographics,” David Arnow, TCG’s chief investment officer, said in the statement”. The company will focus on multifamily development, hospitality, medical office space and self-storage opportunities.”
Original article by David Winzelberg. View original article here.