SOURCE: Dune Real Estate

January 08, 2007 11:36 ET

Dune Real Estate and DiNapoli Capital Partners Complete Acquisition of the Hyatt Regency San Francisco

NEW YORK, NY -- (MARKET WIRE) -- January 8, 2007 --Dune Capital Management and DiNapoli Capital Partners announced that they have completed the acquisition of the 802-room Hyatt Regency San Francisco in Embarcadero Center, from SHC Embarcadero LLC ("SHC"). SHC is a subsidiary of Strategic Hotel Capital, LLC, a private company whose principal shareholders are affiliates of Goldman, Sachs & Co. and investors advised by Prudential Real Estate Investors.

The Hyatt Regency is located along the waterfront in the heart of San Francisco's Financial District. The Hyatt Regency offers direct access to San Francisco's leading Class A office towers and world-class retail and entertainment in Union Square, Fisherman's Wharf and along the Embarcadero Waterfront.

"The acquisition represents a unique opportunity for us to acquire a landmark asset in an irreplaceable location in Downtown San Francisco. The continued improvement in the local economy and lodging fundamentals in San Francisco, coupled with attractive opportunities to reinvest capital into the property, make this an exciting opportunity for Dune and our investors. We are also looking forward to working in partnership with DiNapoli Capital and Hyatt Corporation to maximize the value of this outstanding asset," said Dan Neidich, Co-Chief Executive Officer of Dune Capital Management.

"I have been actively involved with San Francisco hotels for many years and cannot recall a period when the market fundamentals were this strong," said Matt DiNapoli, President and CEO of DiNapoli Capital Partners. "Given the Hyatt Regency's location at the confluence of several significant demand generators including the Financial District, the Market Street corridor and the Embarcadero Waterfront, the hotel is poised to benefit as business and leisure travel continues to accelerate in the city."

About the Dune Real Estate Funds:

The Dune Real Estate Funds make opportunistic investments in a broad range of real estate-related assets, portfolios, joint ventures and operating companies worldwide. The funds are managed by Dune Capital Management LP, an investment management firm formed by Daniel Neidich, Steven Mnuchin and Chip Seelig. Dune Capital Management LP has approximately $2.5 billion of capital under management and is based in New York.

About DiNapoli Capital Partners:

DiNapoli Capital Partners ("DCP") is a privately held real estate investment firm engaged in the acquisition, development and management of hotels and commercial real estate assets. The firm was established by F. Matthew DiNapoli, a founding principal of the successful Maritz-Wolff Hotel Equity Funds. The firm employs a disciplined investment approach focused on value creation and capital preservation. DCP's investments are characterized by direct principal involvement and a meaningful contribution of its principals' capital which effectively aligns the interests of the firm and its financial partners.

Contact Information

  • Contact:
    Steve Lipin or Melissa Daly
    Brunswick Group
    212-333-3810