Principal Real Estate Investors and Miller Global Properties Enter Joint Venture Agreement
October 22, 2007 (Des Moines, Iowa) — Principal Real Estate Investors, the fourth largest manager of real estate assets in the U.S. based on tax-exempt assets under management1 and Miller Global Properties, announced today that they have entered into a joint venture to develop the JW Marriott San Antonio Hill Country Resort and Spa, which is set to open Spring of 2010.
Just 20 minutes from downtown San Antonio and less than ten miles from the airport, the 1,002 room JW Marriott Resort will be situated in Texas Hill Country in Cibolo Canyons.
"This is a historic transaction for The Principal in that it is the firm's first equity investment in a hotel and golf course development," said Rod Vogel, managing director of acquisitions and asset management for Principal Real Estate Investors. "We believe this investment offers attractive risk adjusted returns and fills an important niche in the San Antonio luxury resort marketplace."
The project consists of 12 structures totaling 1,153,055 square feet. Complementing the resort facilities are two 18-hole championship TPC golf courses designed by Greg Norman and Pete Dye, including a clubhouse facility, practice facilities and other PGA quality golf amenities.
"This resort and spa will be the premier luxury resort in Texas," said James Fitzgerald, managing director of hotel investments for Principal Real Estate Investors. "San Antonio continues to be a strong hotel market and this resort will appeal to high-end travelers and meeting planners on a national basis. I am confident that with the exceptionally strong operating team of Marriott International and the PGA, this resort will deliver an excellent guest experience."
"We are excited about our partnership with The Principal and are thrilled to be involved in this exciting project," said Jim Miller, President of Miller Global.
About Miller Global Properties
Miller Global Properties, LLC, one of America's most experienced real estate companies, develops, acquires, owns and operates hotels, office buildings and mixed-use properties throughout the United States and Europe. Since its inception in 1996, the company has been involved in more than 85 properties representing over $2.5 billion of asset value comprising 11 million square feet of office space and 3,300 hotel rooms. Miller Global is currently involved with Marriott in developing more than 2,065 rooms in a variety of other hotels throughout the United States. Prior to forming Miller Global, various principals were involved in the development, management and/or ownership of such prestigious hotels as The Lodge at Pebble Beach, The Inn at Spanish Bay, Aspen's Little Nell Hotel, the Beverly Hills Hotel, New York's Algonquin Hotel and Denver's Westin Tabor Center.
About Principal Real Estate Investors
Principal Real Estate Investors is the fourth largest institutional real estate manager in the United States based on tax-exempt assets under management and manages or subadvises $40.4 billion in commercial real estate assets. The firm's real estate capabilities include both public and private equity and debt investment alternatives. Principal Real Estate Investors is the dedicated real estate group of Principal Global Investors.
About Principal Global Investors
Principal Global Investors is a diversified asset management organization and a member of the Principal Financial Group®, with expertise in equities, fixed income and real estate investments, as well as specialized overlay and advisory services. Principal Global Investors manages $221.4 billion in assets primarily for retirement plans and other institutional clients.2
About the Principal Financial Group
The Principal Financial Group® (The Principal®)3 is a leader in offering businesses, individuals and institutional clients a wide range of financial products and services, including retirement and investment services, life and health insurance and banking through its diverse family of financial services companies. A member of the Fortune 500, the Principal Financial Group has $282.1 billion in assets under management4 and serves some 18.1 million customers worldwide from offices in Asia, Australia, Europe, Latin America and the United States. Principal Financial Group, Inc. is traded on the New York Stock Exchange under the ticker symbol PFG. For more information, visit www.principal.com.
1) Ranked by U.S. institutional tax-exempt assets, out of 50 managers profiled, as of June 30, 2006. "Real Estate Managers," PENSIONS & INVESTMENTS, Oct. 16, 2006.
2) As of June 30, 2007. Principal Global Investors is the asset management arm of the Principal Financial Group® (The Principal®) and includes the asset management operations of the following subsidiaries of The Principal: Principal Global Investors, LLC; Principal Real Estate Investors, LLC; Spectrum Asset Management, Inc.; Post Advisory Group, LLC; Columbus Circle Investors; Edge Asset Management, Inc.; Principal Global Investors (Europe) Limited; Principal Global Investors (Singapore) Ltd.; Principal Global Investors (Australia) Ltd.; and the majority owned affiliates of Principal International, Inc. "The Principal Financial Group"and "The Principal" are registered trademarks of Principal Financial Services, Inc., a member of the Principal Financial Group.
3) "The Principal Financial Group" and "The Principal" are registered trademarks of Principal Financial Services, Inc., a member of the Principal Financial Group.
4) As of June 30, 2007.
