78-410: Hilton Garden Inn is an American chain of full-service hotels targeting business and leisure travelers looking for an upscale experience. The brand is owned by Hilton Worldwide . As of December 2019, it has 862 properties with 126,086 rooms in 49 countries and territories, including 81 that are managed with 15,678 rooms and 781 that are franchised with 110,408 rooms. The Hilton Garden Inn brand began in
156-527: A holding company . In 1991, Blackstone created its Europe unit and launched its real estate investment business with the acquisition of a series of hotel businesses under the leadership of Henry Silverman . In October 1991, Blackstone and Silverman added Days Inns of America for $ 250 million. In 1993, Hospitality Franchise Systems acquired Super 8 Motels for $ 125 million. Silverman would ultimately leave Blackstone to serve as CEO of HFS, which later became Cendant Corporation . Blackstone made
234-522: A $ 1.1 billion real estate investment fund. Also in 1997, Blackstone made its first investment in Allied Waste . In 1998, Blackstone sold a 7% interest in its management company to AIG , valuing Blackstone at $ 2.1 billion. In 1999, Blackstone partnered with Apollo Management to provide capital for Allied Waste's acquisition of Browning-Ferris Industries . Blackstone's investment in Allied
312-508: A $ 3.5 million fee. From the outset in 1985, Schwarzman and Peterson planned to enter the private equity business but had difficulty in raising their first fund because neither had ever led a leveraged buyout. Blackstone finalized fundraising for its first private equity fund in the aftermath of Black Monday , the October 1987 global stock market crash. After two years of providing strictly advisory services, Blackstone decided to pursue
390-488: A British leisure and gambling company, for $ 1.07 billion. In May 1999, Ladbrokes was reorganized as "Hilton Group plc." In 1997, to minimize longtime consumer confusion , the American-owned Hilton and British-owned Hilton International companies adopted a joint marketing agreement, under which they shared the same logos, promoted each other's brands, and maintained joint reservation systems. At that point,
468-695: A cell phone operator in the Rocky Mountain states (CommNet Cellular) were among the most successful of the era, generating $ 1.5 billion of profits for Blackstone's funds. Blackstone Real Estate Advisers, its real estate affiliate, bought the Watergate complex in Washington D.C. in July 1998 for $ 39 million and sold it to Monument Realty in August 2004. In October 2000, Blackstone acquired
546-585: A critique was raised regarding a purchase agreement on several hundred apartments in Frederiksberg , Denmark, between Blackstone's Danish partner North 360 and Frederiksberg Boligfond, a nonprofit housing organization Frederiksberg Municipality established in 1930. After resistance by residents and questions about the purchase agreement's legality, Blackstone withdrew from it in October 2019. On December 1, 2022, Blackstone restricted withdrawals from its $ 125 billion real estate investment fund BREIT due to
624-589: A majority interest in Columbia House , a music-buying club, in mid-2002. Blackstone made a significant investment in Financial Guaranty Insurance Company (FGIC), a monoline bond insurer alongside PMI Group , The Cypress Group and CIVC Partners . FGIC incurred heavy losses, along with other bond insurers in the 2008 credit crisis. Two years later, in 2005, Blackstone was one of seven private equity firms involved in
702-583: A managing director of Lehman Brothers to join Peterson and Schwarzman at Blackstone in 1987, but left in 1992 to join the Clinton Administration as Deputy Treasury Secretary and later founded advisory investment bank Evercore Partners in 1995. Blackstone was originally formed as a mergers and acquisitions advisory boutique. It advised on the 1987 merger of investment banks E. F. Hutton & Co. and Shearson Lehman Brothers, collecting
780-481: A merchant banking model after its founders determined that many situations required an investment partner rather than just an advisor. The largest investors in the first fund included Prudential Insurance Company , Nikko Securities and the General Motors pension fund. Blackstone also ventured into other businesses, most notably investment management. In 1987 Blackstone entered into a 50–50 partnership with
858-467: A new fund as an independent entity backed by Blackstone. While Blackstone was active on the corporate investment side, it was also busy pursuing real estate investments. Blackstone acquired Prime Hospitality and Extended Stay America in 2004. Blackstone followed these investments with the acquisition of La Quinta Inns & Suites in 2005. Blackstone's largest transaction, the $ 26 billion buyout of Hilton Hotels Corporation , occurred in 2007 under
SECTION 10
#1732775305799936-537: A number of notable investments in the early and mid-1990s, including Great Lakes Dredge and Dock Company (1991), Six Flags (1991), US Radio (1994), Centerplate (1995), MEGA Brands (1996). Also, in 1996, Blackstone partnered with the Loewen Group , the second-largest funeral home and cemetery operator in North America, to acquire funeral home and cemetery businesses. The partnership's first acquisition
1014-593: A public company, raising an estimated $ 2.35 billion in its second IPO. At the time, Blackstone Inc. held a 45.8 percent stake in the company. In October 2016, China's HNA Group agreed to acquire a 25 percent equity interest in Hilton from Blackstone. The transaction was expected to close in the first quarter of 2017. Hilton's largest stockholders were until mid-2018 HNA Group, Blackstone, and Wellington Management Company , which as of March 2017 owned 25%, 15.2%, and 6.7% of Hilton common stock respectively. The company
1092-431: A resurgence in the retail asset class. The properties, which house tenants such as Patagonia and Amiri, were purchased with the strategy of increasing revenue by bringing below-market leases up to current rates. The deal included buildings at 61 Crosby Street, 72-76 Greene Street, 465 Broadway, and 415 West Broadway, demonstrating Blackstone's continued interest in prime urban retail locations. In 1990, Blackstone created
1170-574: A surge in redemption requests from investors. The move caused investor consternation and limited the ability to attract new capital for BREIT. In November 2024, Blackstone made a significant move in Manhattan 's retail real estate market by acquiring a group of four retail buildings in Soho for approximately $ 200 million from ASB Real Estate Investments. This transaction marked the largest Manhattan retail deal by an investor in over three years, signaling
1248-464: Is German for "black"; "Peter", "Petros", or "Petra" (Πέτρος and πετρα, the masculine and feminine rendering of the word, respectively) means "stone" or "rock" in Greek. The two founders had previously worked together at Lehman Brothers . There, Schwarzman served as head of global mergers and acquisitions business. Prominent investment banker Roger C. Altman , another Lehman veteran, left his position as
1326-474: Is Hilton's guest loyalty program , through which frequent guests can accumulate points and airline miles by staying within the Hilton portfolio. The program is one of the largest of its type, with approximately 195 million members. There are four levels of elite status within the Hilton Honors program including Member, Silver, Gold, and Diamond. Hilton points average a value of 0.58¢ each. Hilton renamed
1404-519: Is an American alternative investment management company based in New York City . It was founded in 1985 as a mergers and acquisitions firm by Peter Peterson and Stephen Schwarzman , who had previously worked together at Lehman Brothers . Blackstone's private equity business has been one of the largest investors in leveraged buyouts in the last three decades, while its real estate business has actively acquired commercial real estate across
1482-514: The Corporate Equality Index each year from 2014 to 2017. In 2016, Hilton was named one of the "World's 25 Best Multinational Workplaces" by Fortune and Great Place to Work. In 2017, Fortune ranked Hilton number 26 in their list of "The 100 Best Companies to Work For". In 2019, Fortune ranked Hilton number 1 in their list of "The 100 Best Companies to Work For". Hilton Blackstone Inc. Blackstone Inc.
1560-474: The "availability board" to track records. The chalkboard measured 30 feet (9.1 m) by 6 feet (1.8 m) and allowed HILCRON to make over 6,000 reservations in 1955. Bookings could be made for any Hilton via telephone, telegram , or Teletype . Later in 1955, Hilton launched a program to ensure every hotel room would include air conditioning . In late 1955, Hilton opened the Istanbul Hilton ,
1638-427: The 2017 spin-off of Hilton Grand Vacations and Park Hotels & Resorts from Hilton Worldwide into separate companies was to transform Hilton Worldwide into an asset-light company, making it more efficient for its shareholders due to it having less capital investments . This means that following the spin-offs, Hilton Worldwide now mainly owns the Hilton brands and not the majority of the physical properties that bear
SECTION 20
#17327753057991716-1206: The 2022 ranking, it regained the top spot in 2023, and retained it in 2024. The firm invests through minority investments, corporate partnerships, and industry consolidations , and occasionally start-up investments . The firm focuses on friendly investments in large capitalization companies . Blackstone has primarily relied on private equity funds , pools of committed capital from pension funds , insurance companies , endowments, fund of funds , high-net-worth individuals , sovereign wealth funds , and other institutional investors . From 1987 to its IPO in 2007, Blackstone invested approximately $ 20 billion in 109 private equity transactions. Blackstone's most notable investments include Allied Waste , AlliedBarton Security Services, Graham Packaging, Celanese , Nalco , HealthMarkets , Houghton Mifflin , American Axle , TRW Automotive , Catalent Pharma Solutions , Prime Hospitality, Legoland , Madame Tussauds , Luxury Resorts (LXR), Pinnacle Foods , Hilton Hotels Corporation , Motel 6, Apria Healthcare, Travelport, The Weather Channel (United States) and The PortAventura Resort . In 2009, Blackstone purchased Busch Entertainment (comprising
1794-474: The DoubleTree, Red Lion , Embassy Suites, Hampton Inn, and Homewood Suites brands. The company spun off its international operations into a separately traded company on December 1, 1964, known as "Hilton International Co." It was acquired in 1967 by Trans World Corp. , the holding company for Trans World Airlines . As a result, there were two separate, fully independent companies operating hotels under
1872-864: The Girl Scouts of the USA. In 1969, the first DoubleTree Hotel opened. However, Hilton was not affiliated with the brand until it acquired the parent company in 1999. Between 1970 and 1971, Hilton acquired the International Leisure Company, including the International Hotel and the Flamingo Hotel , which were renamed the Las Vegas Hilton and the Flamingo Hilton. The properties would become
1950-611: The Hilton HHonors program to Hilton Honors in February 2017. According to Careerbliss.com, Hilton ranked first in the list of "2012 Happiest Companies in America", with a score of 4.36 out of 5. The survey looked at job reviews from more than 100,000 employees, with such characteristics life as work-life balance, company culture and reputation, and the relationships employees have with their bosses. Hilton has scored 100% on
2028-406: The Hilton name, meaning that it is not responsible for their operation or real estate costs, thus driving up their profits and shareholder value. This also means that Hilton shareholders can now choose which aspects of the brand they want to put their investments behind, and it allows for each individual area of the Hilton brand to focus on its specific area of business and grow more quickly. Following
2106-516: The Hilton name. Those Hilton Hotels outside the U.S. were, until 2006, styled as "Hilton International" hotels. Because the two chains were contractually forbidden to operate hotels in the other's territory under the Hilton name, for many years hotels run by Hilton International in the U.S. were called Vista International Hotels, while hotels operated by the American arm of Hilton outside the U.S. were named Conrad Hotels. In 1986, Hilton International
2184-547: The IRS for approval. In February 2016, Hilton announced its intention to spin off its timeshare and real estate businesses, creating three independent public companies. The spin-offs of Park Hotels & Resorts and Hilton Grand Vacations were completed in January 2017. As of 2018, the company is a fully independent publicly traded company (just like in the pre-buyout days) after the exits of Blackstone and HNA. The purpose of
2262-1217: The Nile Hilton in Cairo , Egypt. In 1960, Hilton opened its first hotel in Oceania , the Chevron Hilton in Sydney , Australia. In 1961, Hilton assumed management of its first hotel in South America, the Hotel Carrera in Santiago , Chile. In 1963, Hilton opened its first hotels in Asia, the Hong Kong Hilton and the Tokyo Hilton, and its first hotel in the Middle East, the Royal Tehran Hilton . In 1965, Hilton launched Lady Hilton,
2340-686: The Old Rhine River, featuring 173 guestrooms and providing all of the brand's signature features. The Hilton Garden Inn brand plans to open properties in Albania , Argentina , Armenia , Busselton , Croatia , Faroe Islands , Hong Kong , Saudi Arabia , Thailand , Turkey , India , Kenya , Ireland , and additional locations throughout the United States , Canada , UK , Italy , Germany , Romania , Namibia , Colombia , Panama , Costa Rica , and Poland . Hilton Garden Inn announced
2418-706: The Sea World Parks, Busch Garden Parks and the two water parks). In 2020 it acquired Ancestry.com . In 2012, Blackstone acquired a controlling interest in Utah-based Vivint, Inc. , a home automation, security, and energy company. Blackstone's most notable real estate investments have included QTS , EQ Office , Hilton Worldwide , Trizec Properties , Center Parcs UK , La Quinta Inns & Suites , Motel 6 , Wyndham Worldwide , Southern Cross Healthcare and Vicinity Centres . The purchase and subsequent IPO of Southern Cross led to controversy in
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2496-582: The Singaporean sovereign wealth fund GIC . As part of the agreement, GIC secured a 35% stake in HIP, with the deal establishing a valuation exceeding €4 billion for the company. In December 2023, Blackstone announced its intention to divest its entire 23.59% stake, valued at $ 833 million, in Embassy Office Parks , India's largest real estate investment trust. The decision came four years after
2574-463: The UK. Part of the purchase involved splitting the business into a property company, NHP, and a nursing home business, which Blackstone claimed would become "the leading company in the elderly care market". In May 2011, Southern Cross, now independent, was almost bankrupt, jeopardizing 31,000 elderly residents in 750 care homes. It denied blame, although Blackstone was widely accused in the media for selling on
2652-667: The Vista chain was phased out, while Conrad was restyled as one of the luxury brands of Hilton, operating hotels within the U.S. and abroad. On December 29, 2005, Hilton Hotels Corporation agreed to re-acquire the Hilton International chain from its British owner, Hilton Group plc, for £3.3 billion ($ 5.71 billion). As well as bringing the two Hilton companies back together as a single entity, this deal also included Hilton plc properties operating as Conrad Hotels, Scandic Hotels , and LivingWell Health Clubs. On February 23, 2006,
2730-525: The World. On April 3, 2024, Hilton announced its acquisition of a majority controlling interest in Sydell Group, the owner of NoMad Hotels, aiming to expand the luxury lifestyle brand with up to 100 new NoMad hotels globally. Hilton's business model for its various brands is based on largely on franchising rather than direct ownership and management of properties. Hilton Worldwide has full ownership of
2808-607: The acquisition was terminated in November 2010. In May 2023, Blackstone entered into an agreement to divest its stake in IBS Software, a Kerala-based software-as-a-service (SaaS) provider. The transaction, valued at $ 450 million, involved the sale of Blackstone's stake to the global private equity firm Apax . In October 2023, Blackstone divested its stake in the Spanish hotel conglomerate Hotel Investment Partners (HIP) to
2886-614: The adverse conditions of the early 2000s recession . At the end of 2002, Blackstone, together with Thomas H. Lee Partners and Bain Capital , acquired Houghton Mifflin Company for $ 1.28 billion. The transaction represented one of the first large club deals completed since the collapse of the Dot-com bubble . In 2002, Hamilton E. James joined Blackstone, where he serves as president and chief operating officer. He also serves on
2964-480: The business grew, Japanese bank Nikko Securities acquired a 20% interest in Blackstone for a $ 100 million investment in 1988 (valuing the firm at $ 500 million). Nikko's investment allowed for a major expansion of the firm and its investment activities. The growth firm also recruited politician and investment banker David Stockman from Salomon Brothers in 1988. Stockman led many key deals in his time at
3042-402: The buyout boom period. Other notable investments that Blackstone completed in 2008 and 2009 included AlliedBarton , Performance Food Group, Apria Healthcare, and CMS Computers . In July 2008, Blackstone, NBC Universal, and Bain Capital acquired The Weather Channel from Landmark Communications for $ 3.5 billion. In 2015, the digital assets were sold to IBM for $ 2 billion. In 2018,
3120-412: The buyout of SunGard in a transaction valued at $ 11.3 billion. Blackstone's partners in the acquisition were Silver Lake Partners , Bain Capital, Goldman Sachs Capital Partners , Kohlberg Kravis Roberts , Providence Equity Partners , and TPG Capital . This represented the largest leveraged buyout completed since the takeover of RJR Nabisco at the end of the 1980s leveraged buyout boom. Also, at
3198-483: The buyout price was 32 percent higher than the closing value of a share of Hilton stock on July 3. The deal was the culmination of a year of on and off discussions with Blackstone. In October 2007, Christopher J. Nassetta was appointed president and chief executive officer of Hilton. In February 2009, Hilton Hotels Corp. announced that its headquarters were moving from Beverly Hills, California to Fairfax County, Virginia. While Blackstone saw an opportunity to streamline
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3276-609: The chain's first international property. That same year, they assumed management of four hotels on the island of Bermuda. Hilton International was founded as a wholly-owned subsidiary in 1948, just before the 1949 opening of the Caribe Hilton Hotel in Puerto Rico . Barman Ramon "Monchito" Marreno claimed he created the piña colada cocktail at this resort. Hilton purchased The Waldorf-Astoria in New York in
3354-424: The company and push Hilton's expansion overseas when Blackstone pursued Hilton in 2006 and 2007, the buyout saddled the company with $ 20 billion of debt just as the economy was turning down . The debt had very liberal terms, so there was no danger of default, but when travel slowed, the company suffered. In April 2010, Hilton and Blackstone restructured the debt. Blackstone invested a further $ 800 million of equity and
3432-654: The company with an unsustainable business model and crippled with an impossible sale and leaseback strategy. After the 2007–2010 subprime mortgage crisis in the United States, Blackstone Group LP bought more than $ 5.5 billion worth of single-family homes to rent, and then be sold when the prices rise. In 2014, Blackstone sold Northern California office buildings for $ 3.5 billion. The buildings sold in San Francisco and Silicon Valley included 26 office buildings and two development parcels. In 2018,
3510-888: The company's portfolio includes 7,530 properties (including timeshare properties) with 1,182,937 rooms in 118 countries and territories. Hilton owns or leases 51 properties, manages 800 properties, and franchises out 6,679 properties to independent franchisees or companies. Hilton has 22 brands across different market segments, including Conrad Hotels & Resorts , Canopy by Hilton , Curio , Hilton Hotels & Resorts , DoubleTree by Hilton, Embassy Suites by Hilton , Hilton Garden Inn , Hampton by Hilton , Homewood Suites by Hilton , Home2 Suites by Hilton , Hilton Grand Vacations Club , Hilton Vacation Club, Hilton Club, LXR Hotels and Resorts by Hilton, Waldorf Astoria Hotels & Resorts , Signia by Hilton, Tru by Hilton , Tapestry Collection by Hilton, Tempo by Hilton, Motto by Hilton, and Spark by Hilton. On December 12, 2013, Hilton again became
3588-523: The deal closed, making Hilton Hotels the world's fifth- largest hotel operator in number of rooms. Scandic Hotels was sold the next year on March 1 to EQT AB . In 2001, Hilton agreed to sell Red Lion to WestCoast Hospitality. On July 3, 2007, Hilton Hotels Corp. agreed to an all-cash buyout from the Blackstone Group LP in a $ 26 billion (including debt) deal that would make Blackstone the world's largest hotel owner. At $ 47.50 per share,
3666-417: The debt was reduced to $ 16 billion. Hilton returned to being a public company on December 12, 2013. This second IPO in the company's history raised an estimated $ 2.35 billion. The Blackstone Group retained a 45.8% stake in the company. The company announced in February 2016 that Hilton would turn its hotel holdings into a real estate investment trust . Prior to making the announcement, the company went to
3744-580: The firm but had a mixed record with his investments. He left Blackstone in 1999 to start his own private equity firm, Heartland Industrial Partners , based in Greenwich, Connecticut . The firm advised CBS Corporation on its 1988 sale of CBS Records to Sony to form what would become Sony Music Entertainment . In June 1989, Blackstone acquired freight railroad operator CNW Corporation . That same year, Blackstone partnered with Salomon Brothers to raise $ 600 million to acquire distressed thrifts in
3822-428: The firm's executive and management committees, and its board of directors. In late 2002, Blackstone acquired TRW Automotive in a $ 4.7 billion buyout, the largest private equity deal announced that year (the deal was completed in early 2003). TRW 's parent was acquired by Northrop Grumman , while Blackstone purchased its automotive parts business, a major supplier of automotive systems. Blackstone also purchased
3900-768: The first hospitality company to span the contiguous United States. The company was incorporated in 1946 as the Hilton Hotels Corporation and subsequently began public trading of shares on the New York Stock Exchange . In 1947, the Roosevelt Hotel became the first hotel in the world to have televisions in its rooms. In 1947, Hilton assumed management of the Palacio Hilton hotel in Chihuahua , Mexico, which became
3978-455: The first hotel concept created specifically for women guests. To appeal to female travelers, many properties offered floors occupied by only women along with distinct amenities for their usage. The iconic Hilton hotel logo, which features the stylized "H" in a circle, was created in 1969 by the legendary graphic designer Saul Bass. Bass was also responsible for designing logos for other well-known brands, including AT&T, United Airlines, and
SECTION 50
#17327753057994056-665: The first in the domestic gaming business to be listed on the NYSE. In 1977, Hilton International opened its first property behind the " Iron Curtain " in Communist Europe, the Budapest Hilton. In 1979, founder Conrad Hilton died at the age of 91. Hilton Hotels Corporation later created the Conrad Hotels brand in honor of Hilton. Hilton Honors (formerly Hilton HHonors), the company's guest loyalty program,
4134-994: The first post–World War II property in Istanbul , Turkey. Hilton is credited with pioneering the airport hotel concept with the opening of the Hilton Inn at San Francisco International Airport in 1959. International expansion continued in this era. In 1957, Hilton assumed management of its first hotel in Central America, the El Panama Hilton in Panama City , Panama. In 1958, Hilton opened its first hotel in Canada, The Queen Elizabeth in Montreal , Quebec. In 1959, Hilton opened its first hotel in Africa,
4212-522: The founders of BlackRock , Larry Fink (current CEO of BlackRock), and Ralph Schlosstein (CEO of Evercore ). The two founders, who had previously run the mortgage-backed securities divisions at First Boston and Lehman Brothers, respectively, initially joined Blackstone to manage an investment fund and provide advice to financial institutions. They also planned to use a Blackstone fund to invest in financial institutions and help build an asset management business specializing in fixed income investments. As
4290-1094: The franchisees through franchise fees, licensing fees, and agreements which give Hilton Worldwide a certain percentage the income. In order to utilize the Hilton brands, the independent franchisees and companies must follow strict brand standards to maintain a licensing agreement with Hilton Worldwide. The franchise model makes Hilton Worldwide a more profitable company along with increasing its value for shareholders due to it having less capital and being able to focus more on its brand. Many of Hilton's flagship properties, airport properties, and largest resorts, however, are corporately managed. The company has its headquarters in Tysons , Virginia, and an operations center in Memphis . Its Asia-Pacific operations are managed out of Singapore , its Middle East and Africa operations are managed out of Dubai , and its European operations are based in Watford , UK. Hilton Honors (formerly Hilton HHonors )
4368-518: The globe. Blackstone is also active in credit, infrastructure, hedge funds , secondaries, growth equity, and insurance solutions. As of May 2024, Blackstone has more than US$ 1 trillion in total assets under management , making it the world's largest alternative investment firm. Blackstone was founded in 1985 by Peter G. Peterson and Stephen A. Schwarzman with US$ 400,000 (equivalent to $ 1.1 million in 2023) in seed capital . The founders derived their firm's name from their names: "Schwarz"
4446-661: The hotel and resort brands as well as the intellectual property associated with them, however the vast majority of Hilton branded properties are not owned and operated by Hilton, instead they are independently owned and operated by independent franchisees or hospitality companies. As of 2024, Hilton Worldwide owns 22 hotel and resort brands that cover a variety of areas in the hospitality sector in six internal categories: As of February 2024, 6,679 of Hilton's 7,530 hotels and timeshare resorts worldwide are owned and operated by independent franchisees or companies and not by Hilton Worldwide itself, this includes Hilton Grand Vacations which
4524-455: The initial listing of the REIT, as revealed in a term sheet disclosed by Reuters . Blackstone operates through four primary departments: private equity ; real estate ; hedge funds ; and credit . As of 2019 , Blackstone was the world's largest private equity firm by capital commitments as ranked by Private Equity International 's PEI 300 ranking. After dropping to second behind KKR in
4602-405: The late 1980s under the name CrestHill by Hilton. Due to a slow real estate phase, only four of 25 proposed hotels were built. Of these four original hotels, three are still part of the chain today. They are located in Lancaster, Pennsylvania , Southfield, Michigan , and Valencia, California . The other hotel, located in Buffalo Grove, Illinois , is now a Four Points . The brand was introduced to
4680-477: The midst of the savings and loan crisis . In 1990, Blackstone launched its hedge funds business, initially intended to manage investments for Blackstone senior management. That same year, Blackstone formed a partnership with J. O. Hambro Magan in the UK and Indosuez in France. Additionally, Blackstone and Silverman acquired a 65% interest in Prime Motor Inn's Ramada and Howard Johnson franchises for $ 140 million, creating Hospitality Franchise Systems as
4758-430: The mortgage for 7 World Trade Center from the Teachers Insurance and Annuity Association . In July 2002, Blackstone completed fundraising for a $ 6.45 billion private equity fund, Blackstone Capital Partners IV, the largest private equity fund at that time. With a significant amount of capital in its new fund, Blackstone was one of a handful of private equity investors capable of completing large transactions in
SECTION 60
#17327753057994836-477: The opening of one of its hotels in the port city of Santa Marta , Colombia , by 2016. Hilton Worldwide Hilton Worldwide Holdings Inc. is an American multinational hospitality company that manages and franchises a broad portfolio of hotels, resorts, and timeshare properties. Founded by Conrad Hilton in May 1919, the company is now led by Christopher J. Nassetta . Hilton is headquartered in Tysons, Virginia , United States. As of December 31, 2023,
4914-598: The possibility of creating a business development company (BDC), Blackridge Investments, similar to vehicles pursued by Apollo Management. Blackstone failed to raise capital through an initial public offering that summer and the project were shelved. It also planned to raise a fund on the Amsterdam stock exchange in 2006, but its rival, Kohlberg Kravis Roberts & Co., launched a $ 5 billion fund there that soaked up all demand for such funds, and Blackstone abandoned its project. In 2007, Blackstone acquired Alliant Insurance Services, an insurance brokerage firm. The company
4992-481: The remainder of the company was sold to Byron Allen for $ 300 million. In December 2009, Blackstone acquired Busch Entertainment Corporation from Anheuser-Busch InBev for $ 2.9 billion. In November 2013, Merlin Entertainments, owned in part by Blackstone Group, became a public company via an initial public offering on the London Stock Exchange . In August 2010, Blackstone announced it would buy Dynegy , an energy firm, for nearly $ 5 billion, but
5070-492: The same year. In 1953, Hilton opened its first hotel in Europe, the Castellana Hilton in Madrid, Spain. The Hotels Statler Company was acquired in 1954 for $ 111 million in what was then the world's most expensive real estate transaction. One year later, Hilton created the world's first central reservations office, titled "HILCRON". The reservations team in 1955 consisted of eight members on staff booking reservations for any of Hilton's then 28 hotels. Reservations agents used
5148-459: The spin-offs, Hilton Grand Vacations and Parks Hotels & Resorts now act in a very similar fashion to the franchise companies that own and operate the majority of Hilton Worldwide's hotel brands. This allows Hilton Worldwide to focus on its brand without incurring the majority of the capital investments and expenses that come with operations and real estate. On February 7, 2024, Hilton announced an exclusive partnership with Small Luxury Hotels of
5226-471: The staff that works at these franchised properties, instead the staff are employed by the independent franchisees or companies. The practice of franchising means that Hilton Worldwide is not responsible for the operational costs, real estate costs, maintenance costs, staff wages, and other costs that they would be if they were the ones owning and operating the properties, instead the independent franchisee or company incurs those costs. Hilton Worldwide profits from
5304-497: The tenure of Hilton CFO Stephen Bollenbach . Extended Stay Hotels was sold to The Lightstone Group in July 2007 and Prime Hospitality's Wellesley Inns were folded into La Quinta. La Quinta Inns & Suites was spun out for IPO in 2014 and later acquired by Wyndham Hotels & Resorts . During the buyout boom of 2006 and 2007, Blackstone completed some of the largest leveraged buyouts. Its most notable transactions during this period included: In 2004, Blackstone had explored
5382-762: The time of its announcement, SunGard was the largest buyout of a technology company in history, a distinction it ceded to the buyout of Freescale Semiconductor. The SunGard transaction is also notable for the number of firms involved, the largest club deal completed to that point. The involvement of seven firms in the consortium was criticized by investors in private equity who considered crossholdings among firms to be generally unattractive. In 2006, Blackstone launched its long/short equity hedge fund business, Kailix Advisors. According to Blackstone, as of September 30, 2008, Kailix Advisors had $ 1.9 billion of assets under management. In December 2008, Blackstone announced that Kailix would be spun off to its management team to form
5460-402: The upscale market in the early 1990's as Hilton Garden Inn serving as a vehicle to bring a more approachable version of a full-service experience into secondary and tertiary markets. It has grown from four hotels to more than 860 properties in about 25 years. In 2012, the first Hilton Garden Inn outside of North America was opened in Netherlands —the Hilton Garden Inn Leiden . It is located on
5538-507: The years passed. In 1925, the Dallas Hilton became the first hotel to use the Hilton name. In 1927, Hilton expanded to Waco, Texas , where he opened the first hotel with air-conditioning in public areas and cold running water. In 1943, Hilton assumed management of the Roosevelt Hotel and purchased the Plaza Hotel , both well-established high-end luxury hotels less than a mile apart in New York City 's Midtown Manhattan neighborhood. With this pair of acquisitions, Hilton established
5616-563: Was a $ 295 million buyout of Prime Succession from GTCR . In 1995, Blackstone sold its stake in BlackRock to PNC Financial Services for $ 250 million. Between 1995 and 2014, PNC reported $ 12 billion in pretax revenues and capital gains from BlackRock. Schwarzman later described the selling of BlackRock as his worst business decision ever. In 1997, Blackstone completed fundraising for its third private equity fund, with approximately $ 4 billion of investor commitments and
5694-475: Was a division of Hilton Worldwide until it was spun off into a separate company to act as a franchisee for Hilton's timeshare brands. Through this franchising model Hilton Worldwide owns the Hilton hotel and resort brands along with the Intellectual property associated with them, but does own or operate the physical hotels and resorts that bear those brand names. Additionally, Hilton Worldwide does not employ
5772-534: Was founded by Conrad Hilton in 1919 as Hilton Hotels Corporation in Cisco, Texas , and it had its headquarters in Beverly Hills, California , from 1969 until 2009. In August 2009, the company moved to Tysons Corner , unincorporated Fairfax County, Virginia , near McLean . In 1919, Conrad Hilton purchased his first hotel, the 40-room Mobley Hotel in Cisco, Texas , and bought additional Texas hotels as
5850-596: Was initiated in 1987. In 1994, the Honors surpassed competing hotel loyalty programs by offering members both hotel credit points and airline credit miles . The company has been a sponsor of the United States Olympic Team . In 1998, Hilton spun off its gambling operations into a separate, publicly held company called Park Place Entertainment (later Caesars Entertainment, Inc.) In 1999, Hilton acquired Promus Hotel Corporation , which included
5928-830: Was one of its largest at that point in the firm's history. In 1999, Blackstone launched its mezzanine capital business. It brought in five professionals, led by Howard Gellis from Nomura Holding America's Leveraged Capital Group, to manage the business. Blackstone's investments in the late 1990s included AMF Group (1996), Haynes International (1997), American Axle (1997), Premcor (1997), CommNet Cellular (1998), Graham Packaging (1998), Centennial Communications (1999), Bresnan Communications (1999), and PAETEC Holding Corp. (1999). Haynes and Republic Technologies International both had problems and ultimately filed bankruptcy. Blackstone's investments in telecommunications businesses—four cable TV systems in rural areas (TW Fanch 1 and 2, Bresnan Communications and Intermedia Partners IV) and
6006-465: Was sold to UAL Corp. , the holding company for United Airlines , for $ 980 million. UAL was reorganized as Allegis Corp. in an attempt to re-incarnate itself as a full-service travel company, encompassing Westin Hotels and Hertz rental cars in addition to Hilton International and United Airlines. In 1987, after a corporate putsch , the renamed Allegis sold Hilton International to Ladbroke Group plc ,
6084-513: Was sold to Kohlberg Kravis Roberts in 2012. On June 21, 2007, Blackstone became a public company via an initial public offering, selling a 12.3% stake in the company for $ 4.13 billion, in the largest U.S. IPO since 2002. During the 2007–2008 financial crisis , Blackstone closed only a few transactions. In January 2008, Blackstone made a small co-investment alongside TPG Capital and Apollo Management in their buyout of Harrah's Entertainment , although that transaction had been announced during
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