Five Mile Capital Partners and Westmont Hospitality Group have taken over 143 hotels by acquiring $700 million of Red Roof Inns debt, Bloomberg reports. The joint venture bought the loans on the economy-level hotels for 50 cents on the dollar.
In addition to the purchase price, the firms contributed $70 million for renovations. All Red Roof properties included in the deal will continue to be run by its RRI West Management unit.
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