RREAF Holdings LLC has partnered with developer/operator Innisfree Hotels to develop Margaritaville Beach Resort Galveston in Galveston, TX.
The deal totals just over $250 million and, once complete, the resort will occupy 300,000 sq. ft. The property will feature 334 rooms and include offerings such as a 2.5-acre water park overlooking the beach, a ballroom and direct beach access. RREAF Holdings has secured all the required approvals from the City of Galveston and will break ground in early 2024.
“The Galveston market has exponential growth opportunities stimulated by its economy and the evolution of people moving to Texas in the past two years,” said Kip Sowden, CEO, RREAF Holdings. “We are honored to work with such distinguished companies as Innisfree Hotels and Margaritaville. With best-in-class management and highly amenitized options for our customers, we are offering a premier experience in a well-positioned hospitality asset for a fruitful future.”
Galveston saw an economic boom in 2022 with more than eight million visitors, an increase of 25% from 2021 with expectations for even more growth this year, according to RREAF Holdings. Additionally, the Houston metro area has continued to grow since 2020 making Galveston an attractive drive-to leisure destination for residents.
“The City of Galveston staff has been great to work with, and we are looking forward to continuing the relationship as we develop this world-class project on Galveston Beach,” said Carl Schwab, president, RREAF Development Services. “Once we break ground in early 2024, our teams will work diligently to build and execute a resort that meets consumer demand in Galveston.”
Ted Ent, president/CEO, Innisfree Hotels, said, “This is our fifth joint venture and ninth beachfront hotel with RREAF Holdings, which exemplifies our successful commitment to adding premier developments to growing local, hospitality markets like Galveston.”
The resort will also feature pickleball courts, a family entertainment center, a lazy river along with an adult pool and signature Margaritaville food and beverage offerings.
“In Texas, every road leads to a new adventure,” said Jim Wiseman, president, development, Margaritaville. “Our Lone Star journey started with opening our office in Dallas and traveling to our destinations in Lake Conroe, the South Coast and beyond. With this resort and additional lodging destinations, communities and cottages coming soon, more of these turns in the road will lead to fun, escapism and our iconic state of mind.”
