CorpHousing Group Inc. Establishes Presence in New Orleans with 15-Year Master Lease Agreement for Historic Lafayette Hotel
26 September 2022 - 10:30PM
Business Wire
CorpHousing Group Inc. (“CorpHousing,” “CHG”, or the
“Company”) (Nasdaq: CHG), which utilizes a long-term lease,
asset-light business model to acquire and manage a growing
portfolio of short-term rental properties in major metropolitan
cities, today announced it has acquired long-term rights to the
Lafayette Hotel, a 60-unit historic boutique property located in
New Orleans, LA, via a 15-year Master Lease Agreement (“MLA”).
The Lafayette Hotel is CHG’s first property in New Orleans,
joining the Company’s portfolio properties in New York, Washington,
DC, Miami, Denver, Boston, and Seattle. CHG will manage and market
the Lafayette Hotel to business and vacation travelers under its
LuxUrbanTM brand, with operations expected to commence in October
2022. The addition of the Lafayette brings to 10 the total number
of hotels in CHG’s portfolio and the 60 units added under this MLA
increases CHG’s total units under long-term lease to 1037.
The Lafayette Hotel is located on the fashionable St. Charles
Avenue Streetcar Line, within the heart of the Historical Arts and
Warehouse Districts in the Central Business District. The hotel is
a short stroll from the French Quarter, Bourbon Street, the Ernest
N. Morial Convention Center, the Superdome, the New Orleans
Riverwalk, and the National World War II Museum. Desi Vega’s
Steakhouse is also located inside of the Lafayette Hotel on St.
Charles Avenue, offering patrons opportunity to wine and dine in
downtown style.
“An important long-term component of our post-IPO scaling
strategy is entering new, destination markets that attract business
and vacation travelers, and New Orleans certainly fits that bill,”
said Brian Ferdinand, Chairman and Chief Executive Officer of
CorpHousing Group. “New Orleans is a city that has something for
everyone, including more than 1,200 restaurants, a rich
multi-ethnic history, over 130 festivals each year, and a world
class airport. We are very excited to offer this new property later
this year.”
New Orleans is known for its round-the-clock nightlife,
live-music scene, and distinct cuisine that reflects the
intersection of its French, African and American cultures. The city
earned numerous awards and rankings during 2022, including: a #2
ranking on the Top 10 U.S. Cities list (Travel + Leisure); a #7
ranking on the Top 50 U.S. Destinations list (Conference Direct
Meeting Mentor Magazine); a #3 ranking as a destination in the U.S.
for City Lovers (Tripadvisor’s Travelers’ Choice); and a #2 ranking
as the happiest travel destination in North America (Club Med).
CorpHousing Group Inc. CorpHousing Group (CHG) utilizes a
long-term lease, asset-light business model to acquire and manage a
growing portfolio of short-term rental properties in major
metropolitan cities. The Company’s future growth focuses primarily
on seeking to create “win-win” opportunities for owners of
dislocated hotels, including those impacted by COVID-19 travel
restrictions, while providing CHG favorable operating margins. CHG
operates these properties in a cost-effective manner by leveraging
technology to identify, acquire, manage, and market them globally
to business and vacation travelers through dozens of third-party
sales and distribution channels, and the Company’s own online
portal. Guests at the Company’s properties are provided Heroic
Service™ under CHG’s consumer brands, including LuxUrban. CHG’s
Heroic ServiceTM provides guests a hassle-free experience which
exceeds their expectations with “Heroes” who respond to any issue
in a timely, thoughtful, and thorough manner.
Forward Looking Statements This press release contains
forward-looking statements, including with respect to the expected
closing of noted lease transactions and continued closing on
additional leases for properties in the Company’s pipeline, as well
the Company’s anticipated ability to commercialize efficiently and
profitably the properties it leases and will lease in the future.
These forward-looking statements are subject to a number of risks,
uncertainties and assumptions, including those set forth under the
caption “Risk Factors” in the prospectus forming part of the
Company’s effective Registration Statement on Form S-1 (File No.
333-262114). Generally, such forward-looking information or
forward-looking statements can be identified by the use of
forward-looking terminology such as "plans", "expects" or "does not
expect", "is expected", "budget", "scheduled", "estimates",
"forecasts", "intends", "anticipates" or "does not anticipate", or
"believes", or variations of such words and phrases or may contain
statements that certain actions, events or results "may", "could",
"would", "might" or "will be taken", "will continue", "will occur"
or "will be achieved". Forward-looking information may relate to
anticipated events or results including, but not limited to
business strategy, leasing terms, high-level occupancy rates, and
sales and growth plans. The financial projection provided herein
are based on certain assumptions and existing and anticipated
market, travel and public health conditions, all of which may
change. The forward-looking information and forward-looking
statements contained in this press release are made as of the date
of this press release, and the Company does not undertake to update
any forward-looking information and/or forward-looking statements
that are contained or referenced herein, except in accordance with
applicable securities laws.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20220923005395/en/
INVESTORS Shanoop Kothari Chief Financial Officer
CorpHousing Group, Inc. shanoop@corphousinggroup.com Devin
Sullivan, SVP The Equity Group Inc. (212) 836-9608
dsullivan@equityny.com David Shayne, Analyst The Equity Group Inc.
(212) 836-9628 dshayne@equityny.com
CorpHousing (NASDAQ:CHG)
Historical Stock Chart
From Apr 2024 to May 2024
CorpHousing (NASDAQ:CHG)
Historical Stock Chart
From May 2023 to May 2024