UK: PGIM Real Estate, the property investor arm of Prudential Financial, has launched a joint venture with the newly formed division of Cairn Group, Madison Cairn.
The JV will focus on the acquisition, development and repositioning of UK hotels in staycation and domestic leisure destinations. The group has already announced its first investment in Brighton.
Charles Crowe, managing director and head of UK transactions at PGIM Real Estate, said: “At PGIM Real Estate, we’ve been investing in Brighton hotels since 2013 and have tracked this opportunity for some time.
“We are delighted to be working with the Madison Cairn team, who are one of the most experienced operators in the sector. We share conviction that the prospects for selected, good-value, domestic leisure markets have strengthened in light of recent events, and we look forward to expanding our venture soon in locations such as these.”
Aneil Handa, director at Madison Cairn, said: “We are thrilled to announce this strategic joint venture with PGIM Real Estate. We are privileged to be working with one of the world’s largest real estate managers, in a partnership where our skills complement each other’s perfectly and position us well for our next chapter of growth in the sector.
“The acquisition of our first hotel together is a key milestone, with the joint venture having appetite for further expansion.”
Cairn Group operates a portfolio of 32 branded and independent hotels across the UK, including its own brand The Cairn Collection.