Raines, a management and investment company based in Florence, S.C., has acquired HP Hotels, a third-party hotel management company based in Hoover, Ala., giving the company further operational expansion throughout the southeast and southwest. Financial terms of the transaction were not disclosed.
With the addition of HP’s hotels, Raines now manages 49 properties in eight states across seven brands.
The deal is another in a waterfall of others within the third-party management space, a further trend of power in numbers. Other recent deals in the space include Hotel Equities’ tie-up with Greenwood Hospitality and Coakley & Williams and Benchmark’s tie-up with Pyramid Hospitality Group.
“Assets alone will not get Raines to where it needs to be as a company,” said Grey Raines, managing partner of Raines. “In addition to acquiring third-party management contracts, Raines is adding experienced principals, trusted partnerships, and operations, sales and marketing, and human resources teams to its arsenal of experienced hospitality professionals. By selecting, developing, and empowering talent diligently, we are positioning ourselves to better achieve our company goals and deliver to our stakeholders.”
The acquisition expands Raines’ footprint geographically beyond the southeast, adding properties in the southwest, including Texas and Oklahoma. The partnership add to Raines its first IHG properties and also its first independent assets. The addition of HP’s independent and soft-branded properties will grow Woven by Raines, currently an eight-portfolio division of the company focused on boutique hotels.
“This acquisition is more than just adding assets to our portfolio,” said David Tart, managing partner of Raines. “It’s about empowering us to execute on our vision, meet our long-term goals, reach new heights, and unlock new opportunities for our employees, investors, owners and strategic partners. With this acquisition, we’re not only adding HP’s expertise and capabilities to our portfolio, but we’re also gaining a team of talented individuals who share our values and commitment to providing exceptional hospitality.”
Kerry Ranson, who co-founded HP and led HP as CEO for many years, is now a Raines partner, serving as the company’s president of operations.
“A little over two decades ago, I, along with Joe Powers and Mike Hines, founded HP Hotels with a vision of operating a hotel management company committed to developing successful, long-term relationships,” Ranson said. “It gives me great pleasure to say we accomplished that and more. Over the years, with the help of exceptional, result-oriented hospitality professionals, we grew our portfolio of branded full-service and select-service properties, independent properties, and boutique experiences throughout the Southeast and Southwest, and generated significant returns for our owners. This acquisition marks a new chapter in HP’s history, and the company’s legacy now lives on through the shared values, principles, and vision we have with Raines.”