The beachfront resort project showcases the advantage of developing in markets where demand is outpacing supply
RREAF Holdings LLC, a private real estate development firm, today announced its partnership with Innisfree Hotels, a best-in-class operator of beachfront hotels and resorts in the Southeastern United States, to develop a brand-new Margaritaville resort in Galveston, Texas.
The deal totals just over $250 million and is located at 317 East Beach Drive. Once complete, the resort will occupy 300,000 square feet, making it one of the largest developments in eastern Galveston. The property will feature 334 rooms and include offerings such as a 2.5-acre elevated water park overlooking the beach, four restaurants, a ballroom, direct beach access, and more. 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 of 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 over 8 million visitors, an increase of 25 percent from 2021 with expectations for even more growth this year. 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 of 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.”
“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,” said Ted Ent, President and CEO of Innisfree Hotels.
The resort will feature a wide array of amenities including 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. Our Lone Star journey started with opening our office in Dallas and traveled 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,” said Jim Wiseman, President of Development at Margaritaville.
For more information, please visit: rreaf.com/ and margaritavilleresorts.com/margaritaville-beach-resort-galveston.