Seeing good times for real estate development ahead, Bethesda, Md.-based real estate developer RLJ Development LLC said Monday it had closed its third private equity real estate fund with $1.2 billion in commitments.
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The firm, which is controlled by Black Entertainment Television founder and Charlotte Bobcats owner Robert L. Johnson, estimates buying power of the vehicle, RLJ Real Estate Fund III, to be $4 billion, with leverage, and plans to develop upscale hotels in urban markets and dense suburbs. San Francisco real estate investment bank Presidio Partners advised RLJ on the fund.
RLJ Develoment calls itself the largest African-American hotel investment company in the U.S., whose 135 hotels are collectively valued at more than $3.0 billion. One deal gave the company significant heft. In February 2006, RLJ announced a $1.7 billion deal for 100 hotels from White Lodging Services Corp., which transformed it into one of the largest Marriott franchisees in the U.S. RLJ closed its RLJ Lodging Fund II LP later in 2006 with $743 million in equity committed. -
Carolyn MurphyGo to story from the North Carolina Business JournalGo to TheDeal.com story on RLJ's $1.7B deal
