Pyramid Global Hospitality has closed on its acquisition of the operating division of Provenance Hotels.
The deal, announced in April, will add Provenance’s 12 independent, boutique hotels with 1,952 rooms and suites to Pyramid’s management portfolio, according to a news release. Through a related transaction, international hospitality and residential owner and developer Gencom has acquired a 50% stake in eight Provenance hotels.
“The addition of the Provenance portfolio places Pyramid in multiple, new markets, particularly in the Pacific Northwest, an area we long have sought to engage,” said Chris Devine, chief investment officer at Pyramid, in the news release. “We continue to have nationwide growth aspirations for our third-party hotel management portfolio and look to ride our ongoing momentum into the coming year. 2022 saw the addition of 29 hotels and 5,537 rooms, and we anticipate similar growth in 2023.”
In an April interview with HNN about the deal, Pyramid President Alex Cabañas said the acquisition would add further specialization to his company, fitting with Pyramid’s acquisition strategy.
“It is not a core strategy to just be big or bigger,” he said. “It’s a core strategy of be better.”
Katherine Durant, president and CEO of Provenance, said in Monday's news release that the deal will bring expanded opportunities for Provenance team members and provide greater resources for guests.
“I look forward to remaining actively involved in the business and partnering with the Pyramid team on opportunities for continued growth,” she said.
Pyramid Global Hospitality is itself the result the merging of Pyramid Hotel Group and Benchmark Global Hospitality in late 2021, a deal brought together by investor groups who saw the potential of a combined company.