Fengate is pleased to announce that it has partnered with the Laborers’ International Union of North America’s (LiUNA) Central and Eastern Canada Pension Fund, Virgin Hotels, Juniper Capital Partners and other investors including Dream and Cowie Capital Partners, to acquire the Hard Rock Hotel & Casino in Las Vegas from a Brookfield-managed private real estate fund.
The partnership plans to open a revitalized property, the Virgin Hotels Las Vegas, in late 2019. Virgin Hotels is a lifestyle hotel brand by Virgin Group founder Sir Richard Branson. The Virgin Hotels Las Vegas will be a destination for locals and guests alike, offering premier food, beverage and entertainment experiences. The property, located at 4455 Paradise Road, will continue full service operations under the Hard Rock flag until it opens as a Virgin Hotels hotel. The partnership will work together on a multi-hundred million dollar face lift for the property, with the final product being a showcase of Virgin’s signature sleek and stylish design with an eclectic mix of social spaces.
“We are excited to be investing in the premiere Las Vegas market with such an innovative and driven group of partners including our investor LiUNA, Juniper and one of the most successful brands in the world, Virgin,” said Lou Serafini Jr., President and Chief Executive Officer, Fengate. “This is a landmark transaction for our private equity division, and we look forward to excellent results for all involved.”
“Our investment in the new Virgin Hotels Las Vegas fully aligns with Fengate’s strategy to acquire and manage businesses in growth-oriented sectors, and to provide long-term revenue stability for our investors,” said Justin Catalano, Managing Director and Head of Private Equity, Fengate. “We are very pleased to add this business to our growing and diverse platform of private equity investments across North America.”
Fengate is managing its investment on behalf of LiUNA’s Central and Eastern Canada Pension Fund. “LiUNA is pleased with our strong working team behind this strategic investment, and we are very proud that the highly-skilled brothers and sisters of LiUNA will be a part of building this extraordinary new Virgin Hotel in Las Vegas,” said Joseph Mancinelli, LiUNA International Vice President and Regional Manager for Central and Eastern Canada.
The hotel will feature 1504 well-appointed chambers, suites and penthouses; a 60,000 square foot, fully-renovated casino, multiple pools over five acres, world-class restaurants, lounges and bars, including new nightlife venues and the Virgin brand’s flagship space, the Commons Club, as well as numerous meeting and convention spaces.