ExecuStay by Marriott, the new corporate housing solutions business of Marriott International, Inc. (MAR/NYSE), today announced two acquisitions as part of its strategy to generate healthy growth into 2000 and beyond.
ExecuStay announced both the acquisition of the 300-unit, Columbus, Ohio-based Executive Living, Inc., and that it has acquired the corporate housing division (excluding Denver inventory) of Dallas-based JPI, one of the nation`s largest multifamily housing developers. These two acquisitions bring ExecuStay`s inventory to approximately 6,000 corporate housing units nationwide. Both transactions will be accretive to earnings but their relative size to Marriott International is not material.
Gary Abrahams, president and chief executive officer of ExecuStay, said that Executive Living founder William Messerly has been retained and will manage ExecuStay`s regional sales office in Columbus, with plans to expand into the Cincinnati and Cleveland markets.
Messerly, a former director of marketing for Residence Inn by Marriott, created and developed Executive Living into Ohio`s leading corporate housing provider. Said Abrahams, “We are delighted to add the considerable assets, skills, and market presence of Executive Living to ExecuStay by Marriott.”
Referring to the JPI agreement, he added that “a formal relationship with one of the nation`s most prominent developers of multi-family housing communities gives ExecuStay an inventory pipeline that will help fuel our growth and better serve our customers coast to coast.”
The acquisition of ExecuStay earlier this year made Marriott International the first hospitality management company to enter the estimated $3 billion corporate housing industry.
ExecuStay (www.execustay.com; 1-888-840-7829) currently provides business travelers with “one-stop shopping” access to approximately 6,000 fully furnished, serviced and accessorized corporate accommodations nationwide. ExecuStay, which owns no residential real estate, provides the units through lease agreements with apartment owners and managers across the country.
Effective July 1, ExecuStay joined the award-winning Marriott Rewards¬, making it the only corporate housing company to offer the benefits of a frequent stay program. Marriott Rewards members earn 2* points for every dollar charged on their ExecuStay stay (excluding tax). Based on a national average rate of $2,400 per month, a 90-day stay with ExecuStay translates into approximately 18,000 Marriott Rewards points which can be redeemed for free travel at over 1,600 participating Marriott hotels worldwide.
Marriott`s extended-stay lodging brands include segment leader Residence Inn, TownePlace Suites and Marriott Executive Apartments.
JPI provides property management and leasing services for more than 24,000 apartment homes. JPI has over 12,500 apartment homes currently under various phases of development and construction in Arizona, California, Colorado, Florida, Georgia, Kansas, North Carolina, Louisiana, Maryland, Massachusetts, Missouri, Nevada, New Hampshire, Pennsylvania, Tennessee, Texas, New York, Washington and Virginia.