- What Four First Nations groups have acquired a 51% stake in the Québec City hotel
- Why The transaction values the 569-room hotel at $175m
- What next Hilton will continue to manage the hotel
InnVest Hotels has sold a majority interest in the Hilton Québec in Québec City to four First Nations groups, Green Street News can reveal.
The word is the transaction values the 569-room hotel at $175m, or $308,000/room. The First Nations groups acquired the 51% stake under a new limited partnership called Atenro.
Bank of Montréal and First Nations Bank of Canada have provided financing to the purchasers.
The buyer group comprises: the Naskapi Nation of Kawawachikamach, represented by the Taasipitaakin Trust; the Mi’gmaq of Gespe’gewa’gi represented by Mi’gmawei Mawiomi Resources; the Huron-Wendat Nation, represented by the Wendat Investment Corp. LP; and the Cree Nation, represented by the James Bay Eeyou Corp.
At 1100 René Lévesque East, Hilton Québec is within a kilometre of Parliament Hill, Old Québec City and the Citadelle of Québec.
The hotel is connected to the Québec City Convention Centre. It has 23,000 sq ft of event space, including the largest ballroom in the city, two restaurants, a bar, a fitness centre and a heated outdoor pool.
In 2020, Hilton Québec underwent a $70m renovation, including a new exterior, guest rooms and restaurants.
InnVest, the largest owner of hotels in Canada with 103 properties, purchased the hotel from Hilton Canada Co. in 2006. The aggregate purchase price of approximately $63m also included the acquisition of the Hilton Saint John.
“Hilton Québec is a high-performing hotel in our portfolio, and this very important agreement with our First Nations partners in Québec allows us to unlock the value of this property while providing a dynamic new investment opportunity for new owners,” said Lydia Chen, president and chief executive of InnVest.
“Our InnVest team will continue to be actively involved with the hotel as asset managers for the new partnership. We are thrilled to welcome the Naskapi Nation of Kawawachikamach, the Mi’gmaq of Gespe’gewa’gi, the Huron-Wendat Nation and the Cree Nation on this exciting journey.”
Hilton will continue to manage the hotel under the new ownership structure. All jobs will be maintained, and new initiatives will provide employment and training opportunities for members of all First Nations.
“The Wendat Nation is proud of this major investment, which is also found on its magnificent territory, the Nionwentsïo. It is even more significant since it is sealed by an economic alliance with the Eeyou, the Mi’gmaq and the Naskapi,” said Grand Chief Pierre Picard.
“This historic transaction honours the memory of the Wendat ancestors who once had an important network of trade and trade alliances. We continue in the same tradition and set an example for our younger generations where collaboration, ambition and visions can converge into concrete successes that promote our financial independence.”
“Our new partnership demonstrates the willingness of Indigenous communities to invest in the economy in a sustainable way and to strengthen their financial self-sufficiency. The revenues generated by our other investments, such as wind, allow us to diversify our investments,” said Fred Vicaire, CEO of Mi’gmawei Mawiomi Business Corp., the general partner of Mi’gmawei Mawiomi Resources.
