Highside Companies has secured a $500 million financing package from affiliates of Apollo to support Highside’s continued expansion of Everhome Suites, a midscale extended stay hotel brand and part of the Choice Hotels International portfolio. The transaction marks one of the largest extended stay financings in the U.S. midscale segment in recent years.
Founded in 2019, Highside Companies has over $1 billion in active projects across the U.S. and Canada.
The new facility will enable Highside to continue to expand its portfolio of Everhome Suites, supporting approximately 35 existing and new projects which are expected to be completed in the next five years across the U.S. in both existing and new markets, according to the company.
“We believe that this transaction will allow Highside to accelerate the national rollout of our Everhome Suites development program during a time of extremely constrained growth of new extended stay hotel development,” Highside Companies CEO Justin Roberts said in a statement. “Highside is a market leader in the extended stay hotel space, and we continue to lean into the asset class. We are long term believers in Everhome Suites and the broader extended stay model and will continue to grow our portfolio aggressively. Our plan is to build a diversified institutional-sized portfolio of extended stay assets over the next five to 10 years, and this puts Highside on track to accomplish that goal.”
“We are pleased to support Highside and Choice Hotels with this customized financing solution to accelerate the growth of the Everhome Suites portfolio,” said Scott Weiner, Apollo Partner and Global head of real estate credit. “Justin and team have a wealth of expertise in the extended stay market, which continues to experience strong demand fundamentals, and we look forward to watching Highside and Choice bring their vision for Everhome Suites to life.”
“This agreement marks a pivotal moment for Everhome Suites,” said Matt McElhare, vice president, extended stay brands, Choice Hotels International. “With Highside’s demonstrated development expertise and our best-in-class extended stay playbook, we’re positioned to accelerate the nationwide expansion of Everhome Suites at a time when demand for extended stay accommodations continues to rise. This investment reinforces our shared commitment to delivering long-term, high-quality growth and meeting the evolving needs of today’s travelers, owners and developers alike.”
Highside is actively pursuing additional partnerships and development opportunities across North America, leveraging its vertically integrated platform and strong institutional relationships. The company aims to grow its extended stay holdings to a nationally diversified portfolio exceeding $2 billion over the next decade.