US real estate investment firm Noble Investment Group has closed its most recent dedicated hospitality investment fund, Noble Hospitality Fund II, exceeding its cap with $220m raised.
Equity commitments from state and corporate pension plans, university endowments and foundations, fund of funds and the principals of Noble.
Approximately seventy-five percent of the capital for Noble Hospitality Fund II was committed by repeat investors and those with a long term relationship with the firm, the firm said. Noble Hospitality Fund II has a two-year commitment period.
“We remain grateful for our investors’ continued trust and confidence in our Noble team and the differentiated value-creation strategy we have been successfully pursuing since 1993,” said Mit Shah, Noble’s chief executive officer and senior managing principal.
After making no new investments from May of 2008 to April of 2010, Noble has strategically increased its investment activity. In 2012, Noble fully invested their most recent hospitality real estate fund which had a three-year commitment period and $310m in equity commitments. During the past twelve months, Noble has acquired or opened ten hotels representing approximately $300 million in investments.
“We have been actively investing our new fund since the third quarter of last year and we will continue to utilise our exceptionally strong relationships throughout the lodging industry to source opportunities as well as our internal core competencies to execute our investment strategy,” added Rodney Williams, Noble’s chief investment officer and managing principal.
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