Active Archives - JMA Ventures

Sawyer Hotel & Residences

Sawyer Hotel & Residences

The Sawyer Hotel and Residences at the Sawyer are the centerpieces of Downtown Commons (“DoCo”), a 1,000,000 sf JMA mixed-use development surrounding Golden 1 Center, home to the NBA’s Sacramento Kings. The Sawyer and DoCo were developed in a joint venture with the Sacramento Kings and was designed to leverage activity from the 17,500 seat Arena and its CBD location four blocks from the State Capitol Building.

Asset Type

Hotel

Acquired

2012

DEVELOPED

2017

Scope

250 keys, 22,000 SF of meeting space, 45 for sale residences

Key Investment Thesis

Leverage the adjacency to the new Golden1 Center, home to the Sacramento Kings, and prime location in the heart of Sacramento’s CBD, to develop a best-in-market boutique lifestyle hotel and luxury residences with hotel services that would deliver significant premiums over the then-current room rates residential sales per SF.

Kimpton Sawyer Hotel – positioned as Downtown Sacramento’s rate and luxury leader, focused on the customer base and active environment derived from Arena events and an NBA affiliation in an already strong occupancy market.
Residences at the Sawyer – develop a residential product that did not previously exist in the market including high rise views, hotel amenities, and a prime downtown location. There is no other competitive Residential luxury product in the market.

JMA Value Creation

Downtown Commons has been a catalyst for redefining downtown Sacramento. It has transformed the once-blighted area into a fully-activated, vibrant urban core that promotes foot traffic and collaboration. JMA Ventures worked closely with the Sacramento Kings to create an ecosystem for the Kings’ organization that includes the Kings Arena, practice facilities, Class-A office headquarters, merchandise stores, and ancillary uses while also incorporating other private uses that coexist and complement their operations. JMA’s roles included the following:

Master developer for the entire entertainment sports complex and developer for the mixed-use components

Performed acquisition diligence of site

Managed development and construction

Hired and managed design team to deliver the project with favorable economics

Delivered hotel partnership with national hotel operator

Led construction financing and take-out financing efforts

Provided overall asset management, including retail & office leasing, and financial oversight

Homewood High & Dry Marina

Homewood, CA

Homewood High & Dry Marina consists of a large boat storage, repair shop, retail and office space. The harbor features four launch bays, three fueling stations with a public fuel dock, two DC fast chargers for on-the-water electric boat charging, two eFoil charging stations, and a head pump out station.

Asset Type

Marina

Acquired

2016

Scope

Lakefront Marina Storage

Key Investment Thesis

Located along the beautiful shoreline of Lake Tahoe, CA Homewood High & Dry Marina has been serving the Lake Tahoe area since 1967 and was the first marina in Lake Tahoe to utilize dry rack storage. Positioned nearly at the center of the incredible West Shore, the Marina consists of indoor and outdoor dry rack storage, and on-the-water buoy storage with the ability to store over 250 boats onsite. Storage is available annually, seasonally, and short-term, including monthly, weekly, and daily. In addition, the Homewood High & Dry Marina features a harbor with four launch bays, three fueling stations with a public fuel dock, two DC fast chargers for on-the-water electric boat charging, two eFoil charging stations, and a head pump out station.

The Marina is home to a large onsite service and repair shop. From boat repairs and cleaning, to launch and fuel, the team prides themselves as “vacation savers,” jumping on mid-season boat repairs to get customers back on the water as soon as possible. As a PCM Premier Dealer, with Volvo Penta and Mercury Marine certified technicians, their Service Department has over 40 years of combined boat service experience.

Along with storage and service, the Marina works with partners to provide boat sales and boat rentals. Boats are available for purchase and demo onsite through Homewood Marina’s sales partner Superior Boat Repair & Sales. Brands feature Nautique known for ski, surf and recreational boats and Barletta featuring top-of-the-line pontoons. The public has the opportunity to get out on the water from the Marina’s harbor through boat rental partners High Sierra Waterski School and SWA Watersports.

Building upon its track record of environmental stewardship and innovation Homewood High & Dry Marina, in conjunction with Superior Boat Repair & Sales and Nautique, powered by Ingenity, worked for over three years on bringing the world’s first 100% electric watersport boat to Lake Tahoe. In the summer of 2020, the Nautique GS22E plugged into Lake Tahoe’s first on-water electric boat charging station at the Marina. The Marina continues to lead the charge on environmental stewardship with their Clean Marina certification, supporting the Clean Up the Lake effort, and participating in the Eyes on the Lake program.

JMA Value Creation

Acquisition due diligence and feasibility analysis of the entire development site

Development and construction management

JMA in-house specialists worked hand-in hand with contractors and designers on redevelopment concept

Sourced and negotiated sponsorship from Fairmont to be the brand and manager of the 54 fractional hotel project

Asset managed all aspects of the project including retail lease and financial oversight

Hired and currently manage a JMA inhouse sales team for the fractional sales of the Fairmont Heritage Place

45 Third Street

Mixed-Use Tower

San Francisco, CA

Entitlement of a signature mixed-use tower with hotel and residential as the focal point of project in the heart of Downtown San Francisco.

Asset Type

Hotel / Residential / Mixed-use

Acquired

Option Agreement executed 2020

DEVELOPED

TBD Development Start

Scope

600’ Mixed-use Tower

Key Investment Thesis

With a location at the convergence of business and tourist activity in San Francisco and a desirable housing and hospitality mixed use profile, 45 Third Street is poised to be one of the beneficiaries of San Francisco’s push to support new large housing-oriented developments in the City core.

JMA Value Creation

JMA and its partner Build Inc. were selected by the Hearst Corporation as the optionee after a highly competitive RFP process involving some of the largest and most highly regarded tower developers in the nation

Developed project concept, programming and design alongside international design firm Skidmore Owings & Merrill

Submitted project preliminary application to San Francisco Planning Department to move forward entitlement process and full entitlement

Engaged with world class membership based residential operator on 45 Third project branding and programming

Grant’s Landing

Grant's Landing

RENO, NV

Ground-up development of a 416-unit Class A multifamily project in Downtown Reno, NV

Asset Type

Multifamily

Acquired

2021

Scope

416 units

Key Investment Thesis

Opportunity to deliver a best-in-class residential offering in an extremely desirable location – the project is situated directly on the Truckee River near the Riverwalk District and Midtown District, which together form Reno’s most urban, diverse, and vibrant neighborhood which has been experiencing significant growth due its unique lifestyle offering.
Continued evolution of the Downtown and Midtown neighborhoods as well and the Reno market as a whole, which continues to experience an influx of new residents and employment growth, including Tesla’s recent announcement of an additional $3.6 billion investment into two new factories in Reno as well as Redwood Materials’ announcement for a new $3.5 billion battery recycling facility.
Historically undersupplied housing market in Reno which has led to significant continued rent growth within the market.
Grant’s Landing focuses on the shift in demand towards highly amenitized Class A housing within the Downtown submarket which historically has seen very limited institutional quality multifamily product.

JMA Value Creation

Acquired the site at a favorable basis while securing an attractive seller financing structure.

Assembled best-in-class A&E team while navigating Reno’s construction market during a period of record high new development.

Identified an opportunity to participate in the Qualified Opportunity Zone tax program, allowing investors to benefit significantly from special tax treatment of capital gains from the IRS stemming from the Tax Cuts and Jobs Act of 2017.

Avon Springhill / Townplace Suites

Avon Beaver Creek QOZ Hotel Development

Avon, CO

Ground up development of 243 key select service Marriott dual brand hotel, located on a QOZ in the world class mountain resort town of Avon/Beaver Creek

Asset Type

Hotel

Acquired

2022

Scope

243 Keys

OPENING DATE

Early 2024

Key Investment Thesis

Develop a hotel to cater to the extremely supply constrained mid-priced point demand segment in the Avon / Vail market. Market currently has little to no corresponding existing product and will continue to benefit from evolving travel patterns and consumer preferences.

Development of a high quality select service hotel at an accessible price point to consumers, catering to the attractive and growing demographics of drive-to Denver MSA
Ability to capture full-service hotel rates in a select service hotel design with a low operating headcount model
Project is located within a federally designated Qualified Opportunity Zone and benefits significantly from special tax treatment of capital gains from the IRS stemming from the Tax Cuts and Jobs Act of 2017

JMA Value Creation

JMA sourced the off-market acquisition of the well-located land parcel, with direct visibility off I-70. Worked diligently on the entitlement process for the two years prior to close, significantly de-risking the project by securing a guaranteed maximum price construction contract, Marriott franchise agreements, construction loan and full design approvals

Navigated a highly volatile construction pricing market post pandemic to secure a guaranteed maximum price contract with local general contractor RA Nelson

Managed the entire design and planning process, securing full project design approvals from the design review board

Identified highly unique Qualified Opportunity Zone status of project, providing significant tax benefits to investors while also developing a project that will deliver strong annual investor cash flow

Sourced off-market land parcel at an attractive basis compared to competitive projects in the Avon / Vail Valley

Will provide full asset management services for the investment

Epic / Waterbar Restaurants

Waterbar & Epic Steak

(369-399 Embarcadero)

San Francisco, CA

Two iconic Pat Kuleto restaurants with an unrivaled location on San Francisco’s waterfront over a panoramic coastline view of San Francisco Bay and Bay Bridge.

Asset Type

Commercial

Acquired

2018

Scope

18,000 SF: 2 Restaurants

Key Investment Thesis

Opportunity to develop industry-leading restaurants in a prime waterfront location.

Extremely desirable location on the Embarcadero in close proximity to Oracle Park and the Moscone Center
Opportunity to partner with restaurateur Pat Kuleto
This is a long-term hold project that has increasing ROI year after year

JMA Value Creation

Negotiated a long-term lease with an exceptional restaurant group and developed the property.

Asset management team works with the restaurants to ensure maximum profitability and sustain the position as two of the top-grossing restaurants in San Francisco

Red Lodge Resort

RED LODGE, MT

Acquisition of regional ski resort / golf course in south-central Montana with significant value added through strategic capex, fee simple forest service land-swap, and overall operating efficiencies.

Asset Type

Resort / Leisure

Acquired

2007

Scope

1,635 skiable acres & 160 golf course acres

Key Investment Thesis

Our strategy was to take an undermanaged and undercapitalized ski resort with close proximity to Montana’s largest city and drive significant ski customer yield through upgrades to existing services (lifts, F&B, terrain, retail) and sophisticated revenue management practices.

Opportunity for additional real estate development potential
Authentic ski and summer experience in contrast to commercialized “Vail experience”
Scale of ski operation lends itself to high flow-through from incremental ski yield and visits.

JMA Value Creation

Significant operational stabilization under JMA ownership and improvements to profitability have allowed for capital to be reinvested into the resort. JMA real estate development expertise has opened possibility for meaningful development at the mountain and golf course.

Completed USFS land swap exchanging undevelopable up-mountain land for fee simple land surrounding base area

Successfully stabilized profitability with average NOI over the past three years approx. 3x higher than the 10-year average during 2007-2016 period

Chair lift replacement and learn-to-ski enhancements to be completed by 2023/2024 ski season

Aloft Hotel

Aloft Reno-Tahoe International Airport

Reno, NV

Ground up development of a 164 key hotel adjacent to the Reno-Tahoe International Airport with subsequent successful recapitalization as the property reached stabilization.

Asset Type

Hotel

DEVELOPED

2020

Scope

164 Keys

EXIT

Recap completed Aug. 2022

Key Investment Thesis

Opportunity to develop a well-located hotel in a high growth and burgeoning lodging market, providing highly attractive annual cash flow returns for investors.

Post development recapitalization providing opportunity for new investors to participate in return growth as the hotel reaches stabilization
Rare off-market ground lease opportunity sourced through the Reno-Tahoe Airport Authority, with development option for adjacent land

JMA Value Creation

JMA developed the project on schedule and on budget, successfully delivering the hotel at an attractive basis. JMA then provided significant value for its “Phase 1” investors by recapitalizing the hotel in August 2022, with 4x gross returns on initial investor equity.

Quickly ramped up asset towards stabilization, despite hotel opening only months after the onset of the pandemic

Successful Phase I exit with substantial investor returns, while allowing Phase 2 investors to participate in continued upside as the property nears full stabilization

Negotiated accretive ground lease with Reno Airport Authority that features zero property tax

Managed full development and operation process from inception to hotel opening, delivering on budget in a volatile construction market

Marigot Bay Resort & Marina

Zoetry Marigot Bay, Saint Lucia

Marigot Bay, Saint Lucia

124 keys all-inclusive luxury resort with multiple food and beverage outlets, ocean front, located in the iconic Marigot Bay in Saint Lucia. The resort sits next to a mega yacht luxury marina with up to 42 slips, Marigot Bay Yacht Haven, which provides a beautiful and relaxing atmosphere.

PROPERTY Type

Luxury Resort

Acquired

2021

RENOVATED

2022

Scope

124 luxury keys with multiple food and beverage outlets and a 42-slip marina as well as 20 mooring buoys

Key Investment Thesis

Take advantage of a significantly distressed asset by engaging an all-inclusive nationally recognized hotel brand with proven Caribbean and Latin America experience while investing a significant amount of capital to upgrade the overall resort experience and bring performance in-line with comparable destinations.

JMA Value Creation

Performed a large Property Improvement Plan in a very complicated foreign market, all during the Pandemic. Instituted hands-on asset management by implementing Standard Operating Procedures across the resort and marina as well as bringing in a separate marina manager. Created strong local government relations and saved multiple jobs at the resort by diverting the prior trajectory of the asset.

Homewood Mountain & Lake Club

Lake Tahoe, CA

Located on Lake Tahoe’s West Shore, Homewood is an operating ski resort on the largest private land holding in the Tahoe basin, allowing for the development of a four-season mountain / lakefront resort community.

Asset Type

Mountain/Lake Resort

Acquired

2006

DEVELOPED

Ongoing

Scope

>1M Buildable SF

Key Investment Thesis

Private ownership of the mountain and lakefront parcels, in conjunction with entitlements obtained by JMA Ventures, enables for a one-of-a-kind residential ski and lake club development.

Truly irreplaceable asset in a proven resort market with strong connection to Bay Area.
Unlike other luxury ski resorts, Homewood is immediately adjacent to Lake Tahoe, one of the most renowned alpine lake summer destinations in the world.

JMA Value Creation

Completion of multi-agency entitlement process and lakefront assemblage of three separate properties allows for the necessary pivot to a residential resort community in partnership with Discovery Land Company.

Resort redevelopment concepting, planning, and permitting

Capital sourcing for individual development phases

Entitlements vested with commencement of construction in late 2022