In a joint venture, the two companies purchased the Austin, Texas resort and intend to invest $5 million to complete renovations started by the previous owners.
Dow Hotel Company and the Carlyle Group’s Carlyle Realty Partners VI fund have acquired the Lakeway Resort and Spa in Austin, Texas in a joint venture.
Though details of the deal have not been released, the new owners said in a press release that they would invest more than $5 million to complete a renovation started by the previous ownership group. Resort operations will not be affected by the sale.
The AAA Four Diamond resort is situated on 12 acres with 1,000 feet of waterfront on Lake Travis in the Texas Hill Country and offers 174 luxury guest rooms, suites and villas. It also features 24,000 sq. ft. of flexible meeting and function space for business and leisure groups, as well as the San Saba Spa, water activities and world-class tennis with 24 outdoor courts and two indoor climate-controlled courts.
Guests of the resort also enjoy privileges at four nearby private and public golf courses: Flintrock Falls, Falconhead Golf Club, Yaupon Golf Course and Live Oak Golf Course.
“With the hotel industry in the midst of a recovery, we believe the Lakeway Resort has excellent growth potential,” said Thad Paul, Managing Director of The Carlyle Group. “The strong job growth we are seeing in the Austin feeder markets around Texas, and the opportunity to reposition the property through capital improvements and new management, makes this an attractive investment.”
Hospitality Funding LLC, a Palm Beach, Fla.-headquartered boutique investment firm, advised the buyer group on the transaction.home