KHP Capital Partners is a hotel investment and development firm founded in 2015 and headquartered in Larkspur, California. The team previously ran the fund business at Kimpton Hotels and spun out as an independent real estate platform when IHG acquired Kimpton’s management company in 2014. KHP focuses on repositioning and adaptive reuse of independent and boutique hotels in U.S. urban markets. The firm is the developer of The Beckworth Hotel in Charlotte, a 240-key conversion of the National Register-listed 1924 Johnston Building with Gensler as architect, Workstead on interiors and Cleveland Construction as construction manager, structured for federal historic tax credits and pursuing LEED Silver. KHP employs between 11 and 50 people.
KHP describes itself as hospitality operators investing in real estate rather than a real estate firm that happens to own hotels, and the distinction runs through everything the platform publishes.
The track record is stated in numbers: approximately $3 billion in total asset value invested and committed, 58 investments across seven funds, roughly 9,200 hotel rooms acquired, more than twenty years of history, and 26 professionals, with an investment committee averaging over thirty years of industry experience. The firm is currently deploying KHP Fund VI.
The timeline explains how a fund manager ended up inside a hotel operator. Joe Long and Ben Rowe joined Kimpton Hotels & Restaurants in 2003 under Mike Depatie. Fund I launched inside Kimpton the following year. When InterContinental Hotels Group agreed to acquire Kimpton’s management company in 2014, Depatie, Long and Rowe formed KHP Capital Partners in 2015 with the team responsible for Kimpton’s real estate investments, assuming the fund management business and raising Fund IV with a broader lifestyle focus. The tenth acquisition as an independent manager came in 2021, taking total investment past $1 billion in five years.
Three strategies are named, and they are usefully distinct rather than overlapping. Operations enhancement targets undermanaged hotels in sound physical condition, where the fix is asset management and possibly a change of brand or operator. Renovation and repositioning targets undercapitalised hotels in desirable locations failing on a combination of physical condition and brand affiliation. Adaptive reuse targets underutilised, well-located buildings suitable for conversion, which the firm notes can often be acquired with limited competition, below replacement cost, and are frequently eligible for public incentives. That last clause is the one that connects the strategy to historic tax credit structuring.
In-house construction and development capability is listed as a differentiator, feeding underwriting and project management rather than being procured after acquisition. On a conversion of a listed building, where the renovation cost estimate is the deal, having that expertise before the bid is a material advantage.
The firm publishes a responsible investing position covering environmental impact, inclusion and transparency to partners. Its office is at Larkspur Landing Circle in Larkspur, in the San Francisco Bay Area, and it invests across the United States.
