Barcelona Hotel Group and Dow Hotel Company have signed an agreement to purchase and operate hotels over the next 12 to 18 months.
Under the terms of the agreement, Dow will become a Strategic Alliance Member and co-invest with affiliates of Barcelona to acquire hotels worth $450m.
A private real estate investment trust, Barcelona REIT One (BR-1) will acquire and own the properties while the fund will be managed by Barcelona.
The company said Dow Hotel will invest in BR-1 and will source hotels for acquisitions in the USA and Canada, and will operate as a third-party manager for all properties.
Barcelona Hotel Group president Richard Harkin said the group believes that co-investing with Dow will allow it to take greater advantage of the opportunities that lie ahead in the hotel industry.
Barcelona Hotel Group is a financial investment group based in Arizona, USA, and Dow Hotel is a hotel management company.