Ralph V Izzi Jr
The Procaccianti Group (TPG) Unveils “O2” - $1.4 Billion Investment In Newport
Largest Private Real Estate Investment in R.I. History
NEWPORT, R.I., Wednesday, April 4, 2007—The Procaccianti Group (TPG) today unveiled its plans to develop “O2 Newport”, a world-class destination which will include a high-end hotel, residential, retail and commercial space, as well as entertainment and recreation venues. The $1.4 billion investment envisioned for the mixed-use development represents the largest private real estate investment in the State’s history. O2 builds on a concept that the real estate developer/hotelier is rolling out nationwide.
Located in Newport’s North End, O2 will help realize the vision of the City’s North End Master Plan, which was unanimously approved by the Newport Planning Board in January. TPG also envisions a hotel, apartments and luxury residences, restaurants, shopping, service retail, a spa and wellness center, an entertainment venue, indoor and outdoor recreation venues and a VLT facility as offerings within the development.
“TPG was impressed and inspired by the scope and scale of the Newport North End Plan. We are looking forward to working with the City of Newport to assist in the creation of a new district and an extraordinary world class entry point for Newport,” said Tom Niles, Executive Vice President of Development for TPG. “The many aspects of O2 create a community enlivened by a mix of uses, a district where people can live, work, dine, shop, entertain and enjoy recreational activities in an inspirational setting.”
O2 Newport will be anchored by property that is currently home to the VLT facility at Newport Grand. TPG has entered into a definitive agreement to purchase the property and assets of Newport Grand. During the transition period, which is anticipated to take less than one year, TPG will provide the resources necessary for the VLT facility to meet its contractual obligations to the state for the number of VLTs at the facility. TPG will seek transfer of the gaming license now held by Newport Grand.
TPG Unveiling O2 as a National Brand; Ritz Carlton Talks Underway
TPG has begun conversations with Ritz Carlton about their interest in operating the high-end hotel that will be the cornerstone of O2. According to TPG Chief Financial Officer Greg Vickowski, Ritz Carlton executives are enthusiastic about the potential of Newport and recognize it as a world-class destination.
O2: Realizing the North End’s Great Potential
O2 will be an original, sustainable, transit-oriented urban redevelopment project, with dramatic gathering places and timeless architecture. “O2 represents a unique opportunity for Newport and Rhode Island, and for TPG to apply our development, construction, and hospitality strengths to revitalize an area with great potential,” said Niles.
Working with the City, State
Niles said the impetus for the O2 proposal was the City’s visionary North End Master Plan. “TPG is unveiling the O2 brand in great cities across the country, including Santa Monica, Scottsdale and Fort Lauderdale. When we studied the Newport North End Plan, we immediately saw the opportunity to do something original, ambitious, and enduring.” Niles said. “Newport is a true original; an international destination and a world-class brand. It is a perfect place for the O2 concept.”
The company plans to participate in numerous public forums to gather input and get a clear sense of how best to match the development’s potential with the desires of local government and residents. “We have a shared concept and an alignment of goals, but many of the details will evolve in the coming weeks and months. We look forward to working with the City of Newport every step of the way to realize the enormous potential of the North End,” he added.
About The Procaccianti Group (TPG)
The Procaccianti Group (TPG) is a second generation, privately held real estate investment company that specializes in acquisition, renovation and management of investment real estate. TPG has owned or developed more than 17 million square feet of real estate, valued at nearly $4 billion.
The Procaccianti Group currently owns 50 hotels totaling 12,993 guest rooms in 17 states and employs 6,000 people from coast to coast with 200 professionals based at the corporate headquarters in Rhode Island. TPG is comprised of various companies engaged in hospitality management, mixed-use development, design and construction, purchasing, property management, asset management and lending.
The Procaccianti Group is one of the top 5 privately held owner operators of hospitality assets in the United States.
For more information visit www.procgroup.com.