Acorn and Hyatt planning joint Africa hotel portfolio

Acorn Fund Management, in partnership with Hyatt International, is launching a portfolio that will invest in hotels in Africa.

The African Hospitality Growth fund is targeting a return of 100% over a five-year period, equal to an internal rate of return of 17% per year. It will invest in four hotels to be built by Hyatt in South Africa during the period, with the hotel company agreeing to provide at least 10% of the fund’s £57m fundraising target. Hyatt will operate the hotels under a 20-year management contract. Acorn says South Africa is well placed to benefit from increased demand for hotel accommodation as the country develops. Shaun Godfrey, Acorn sales director, says: “We have been successfully inves...