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Soren Halladay
CIO, PEG Companies
It’s Not a Secret Anymore!
Where are we today?
FIRST PORTFOLIO - 8-pack (6 Residence Inns)
• Sacramento, Santa Fe
• Tampa
• St Louis
• Boston and Chicago
SECOND PORTFOLIO - 5-pack (4 Residence Inns)
• Longer-term hold
“PEG Companies plans to convert the 32-year-old Residence Inn by Marriott near Christus St. Vincent Regional Medical
Center in Santa Fe, NM into…apartments. The development company has similar projects underway in other states and more
than 10 conversions in the pipeline.”
-- Daily Lodging Report
Creativity is Required in Today’s RE Market
“Creativity is just connecting things. When you ask creative people how they did something,
they feel a little guilty because they didn’t really do it, they just saw something. It seemed
obvious to them after a while”
– Steve Jobs
PEG Strengths and Strategic Capabilities
• Urban & Suburban/Urban experience and "know-how"
• City entitlement and City finance experience
• Slightly off mainstream, but not completely off
• Hospitality / Multifamily
Urban Suburban Urban
“Dynamic Duo” - Hotel/Residential
SLC AC Marriott &
Milagro Apartments
Boise Hyatt Place &
Apartments
Boise Apts
Boise, ID
IRR: 17.97%
Cash on Cash: 8.22%
Energy Locations – Malls, Hospitals,
Transportation Hubs
Rochester
Hyatt House
Oldtown Scottsdale
AC Marriott
West Valley
Springhill Suites
Hyatt House
Rochester, MN
IRR: 19.92%
Cash on Cash: 25.33%
Old Town
Scottsdale, AZ
IRR: 17.24%
Cash on Cash: 11.34%
Valley Fair
West Valley, UT
IRR: 19.00%
Cash on Cash: 12.43%
University Towns / Student Housing
UVU Student Housing Papago Springhill Suites/ASU
UVU Student Housing
Orem, UT
IRR: 23.52%
Cash on Cash: 11.23%
Papago Springhill Suites
Phoenix, AZ
IRR: 25.22%
Cash on Cash: 13.61%
Conversion from Hotel to Residential
Residence Inn
Generation 1
Cloverleaf Suites
Downflagged Brand
Residence Inn
Portfolio 2
Nationwide
IRR: 17.01%
Cash on Cash: 11.21%
Residence Inn
Portfolio 1
Nationwide
IRR: 22.27%
Cash on Cash: 15.88%
Sweet Success!

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Soren Halladay - AGM 2019

  • 2. It’s Not a Secret Anymore! Where are we today? FIRST PORTFOLIO - 8-pack (6 Residence Inns) • Sacramento, Santa Fe • Tampa • St Louis • Boston and Chicago SECOND PORTFOLIO - 5-pack (4 Residence Inns) • Longer-term hold “PEG Companies plans to convert the 32-year-old Residence Inn by Marriott near Christus St. Vincent Regional Medical Center in Santa Fe, NM into…apartments. The development company has similar projects underway in other states and more than 10 conversions in the pipeline.” -- Daily Lodging Report
  • 3. Creativity is Required in Today’s RE Market “Creativity is just connecting things. When you ask creative people how they did something, they feel a little guilty because they didn’t really do it, they just saw something. It seemed obvious to them after a while” – Steve Jobs
  • 4. PEG Strengths and Strategic Capabilities • Urban & Suburban/Urban experience and "know-how" • City entitlement and City finance experience • Slightly off mainstream, but not completely off • Hospitality / Multifamily
  • 6. “Dynamic Duo” - Hotel/Residential SLC AC Marriott & Milagro Apartments Boise Hyatt Place & Apartments
  • 7. Boise Apts Boise, ID IRR: 17.97% Cash on Cash: 8.22%
  • 8. Energy Locations – Malls, Hospitals, Transportation Hubs Rochester Hyatt House Oldtown Scottsdale AC Marriott West Valley Springhill Suites
  • 9. Hyatt House Rochester, MN IRR: 19.92% Cash on Cash: 25.33%
  • 10. Old Town Scottsdale, AZ IRR: 17.24% Cash on Cash: 11.34%
  • 11. Valley Fair West Valley, UT IRR: 19.00% Cash on Cash: 12.43%
  • 12. University Towns / Student Housing UVU Student Housing Papago Springhill Suites/ASU
  • 13. UVU Student Housing Orem, UT IRR: 23.52% Cash on Cash: 11.23%
  • 14. Papago Springhill Suites Phoenix, AZ IRR: 25.22% Cash on Cash: 13.61%
  • 15. Conversion from Hotel to Residential Residence Inn Generation 1 Cloverleaf Suites Downflagged Brand
  • 16. Residence Inn Portfolio 2 Nationwide IRR: 17.01% Cash on Cash: 11.21% Residence Inn Portfolio 1 Nationwide IRR: 22.27% Cash on Cash: 15.88%