An icon reimagined.
A mountain escape redefined.
College Street Partners, in collaboration with Palisociety, is transforming the historic DuBose campus in Monteagle, Tennessee into a design-forward mountain resort. This adaptive reuse project blends heritage with modern hospitality—delivering a curated lifestyle destination in a market with virtually no direct competition.
From historic campus to mountain resort
A century-old landmark, reimagined for the modern lifestyle traveler.
Five pillars of value
A singular opportunity built on heritage, design, scarcity, distribution, and execution.
Why we've spent years building toward this project.
For those of us who grew up in Nashville, Monteagle is not an unfamiliar place. Many of us spent summers on this mountain as children — visiting the Monteagle Assembly, driving up for weekends at Sewanee, staying in the cabins and cottages passed down through generations of Nashville and Memphis families. This corner of the Cumberland Plateau has been the summer retreat for Southern families for more than 150 years, and the DuBose campus we are redeveloping has been part of that history since 1873 — first as a school of religion tied to the University of the South, then as a conference center, and now, we believe, as the boutique mountain resort the community has quietly been waiting for.
That is what makes this project personal for us. It is not an out-of-market investment thesis. It is the reimagining of a place we know intimately, in a market we understand from the inside, with a hospitality product we have been waiting our entire careers to build.
What convinced us this was the right moment wasn't just the site — it was the alignment of the team. Palisociety brings a proven boutique operating platform and a design sensibility that fits the mountain perfectly. Pfeffer Torode has the adaptive-reuse experience the National Register buildings demand. College Street Partners is aligned on every dimension that matters — capital discipline, design integrity, and a long view of the asset. Design Hotels and Marriott Bonvoy distribution is in place. The tax-credit and CDD structure is fully underwritten by counsel. Everything that could be de-risked before capital, has been.
What we are asking investors to underwrite is not a story — it is a fully-scoped project, with a category-defining operator, a market with virtually no direct competition, and three layers of public-finance support that lower the equity requirement without adding leverage. The returns speak for themselves, and the risks are laid out honestly on the following pages.
If you have questions or want to talk through the structure, please reach any of us directly. We would rather have a real conversation than let you decide on this document alone.
Why now, why here.
Three converging forces have created a rare repositioning window: a one-of-a-kind historic campus with newly cleared zoning, the largest underserved drive-to leisure market in the Southeast, and a category-defining operator looking for its first true mountain resort.
Demand drivers
- 400,000+ annual visitors to South Cumberland State Park
- Bonnaroo Music & Arts Festival (Manchester, TN — 35 min) draws ~80,000 attendees over 4 days each June; major demand spike + corporate hospitality opportunity
- Sweetens Cove Golf Course (South Pittsburg, TN — 30 min) — a nationally ranked destination 9-hole course (Peyton Manning, Andy Roddick, Skip Bronson among partial owners) drawing high-income golf tourists from across the country
- Nature-based travel surging post-pandemic
- Nationally recognized hiking/climbing trail systems
- The Caverns concert venue (15 min) drives high-AOV weekend traffic
- Sewanee: The University of the South — 10 minutes; one of the South's premier liberal-arts colleges, with reunion, family, and parents' weekends that drive seasonal lodging demand
- Sewanee Summer Music Festival — 5+ week classical festival each June & July, founded 1957, draws faculty + students + audiences from across the U.S.
- Sewanee Writers' Conference — flagship literary conference each July, established 1990, attracts a national roster of authors
- St. Andrew's-Sewanee School — prestigious K-12 Episcopal college-prep school with boarding upper-division; drives sustained parent + alumni travel
- Monteagle Sunday School Assembly — historic 175-year Chautauqua programming with summer cottages and lecture series
- Wedding & reunion calendar already established for the campus
Drive-to feeder markets
Six high-income MSAs within a three-hour drive—the radius where lifestyle leisure travelers make weekend decisions.
On the map
635 College Street, Monteagle, TN — at the geographic center of the Southeast's drive-to leisure market.
Distribution & loyalty advantage
Independent design — global muscle. Palihouse Monteagle joins Design Hotels and the Marriott Bonvoy ecosystem.
Independent boutique soul. Marriott-scale distribution.
A fully integrated resort experience.
133 keys across thoughtfully restored historic buildings and freestanding cabins, set on 27.4 acres. Adaptive reuse meets new construction to deliver pool, spa, racquet sports, destination dining, and an integrated trail network.
Claiborne Hall — restored to its 1924 grandeur.
The National Register-listed Claiborne Hall becomes the property's heart: 65 lodge and Hacienda keys wrap the amenity core — pool, dining, and event courtyards — giving guests a sense of arrival that only a century-old landmark can produce.
65 keys · Historic building · Adaptive reuse to Secretary of Interior Standards
68 casitas in a curated site plan.
A freestanding casita village anchors the top of the ADR stack at $875–$1,000/night. Private porches, mountain quiet, and lockoff floorplans engineered for families, celebrators, and full-property buyouts.
68 keys · New construction · Three typologies
Room mix & rate strategy
Planned amenities & programming
Experience gallery
Latest concept renderings from the Pfeffer Torode + LandDesign master plan (March 2026).
The casita village
Three casita typologies on a curated site plan—designed for privacy, mountain quiet, and rate premium.
A category-defining position.
The closest direct lifestyle competition operates 4+ hours east in North Carolina—at $500–$1,200 ADRs and routinely sold out on weekends. Palihouse Monteagle plants a flag in a market that has never had a true destination resort.
Premium positioning · disciplined underwriting
Audience & positioning
The brand world
Visual references curated for the Palihouse Monteagle aesthetic—layered textures, vintage millwork, residential warmth.
The guest we host
A coalition of audiences with overlapping needs and high lifetime value.
Underwriting at a glance.
All internal rates of return are date-weighted on a monthly basis — every contribution and distribution is discounted from the date it actually occurs. Partner capital is called month by month as construction requires rather than funded in a single draw at closing.
A $101.8M total project cost financed with 90/10 LP/GP equity, senior construction debt, $10.65M of net CDD financing proceeds (sales-tax-increment-backed under Tenn. § 67-6-104), plus the federal Historic Tax Credit (HTC) and Tax Increment Financing (TIF) stack. Below: stabilized operating economics, sources & uses, and the full return profile.
Sources & uses
| Senior Construction Loan Drawn net of CDD displacement · $62.66M Wilson facility committed | $59,235,638 | 58.2% |
| LP & GP Equity LP $28,706,501 · GP $3,189,611 | $31,896,113 | 31.4% |
| CDD Net Proceeds (sales-tax-backed) | $10,654,528 | 10.5% |
| Total Sources | $101,786,279 | 100% |
Plus $3.96M in Federal Historic Tax Credits delivered as operating-period inflows, and $2.86M in TIF reimbursements received during the hold (of a $2.86M total reimbursement pool). CDD financing par of $14.0M is anticipated to net $10.65M after cost of issuance, capitalized interest, and a debt-service reserve fund.
| Hard Costs Brasfield & Gorrie GMP | $72,491,447 | 71.2% |
| FF&E, Equipment & Pre-Opening | $9,891,999 | 9.7% |
| Soft Costs Incl. developer fee and Paligroup technical services | $7,409,436 | 7.6% |
| Contingency | $4,489,654 | 4.4% |
| Financing Costs & Reserves Origination, closing costs, interest reserve, working capital | $3,571,611 | 3.3% |
| Acquisition | $2,954,918 | 3.1% |
| Predevelopment | $977,014 | 1.0% |
| Total Uses | $101,786,279 | 100% |
Stabilized hotel operations (untrended, operating Year 3)
| Line Item | Amount | % Revenue |
|---|---|---|
| Departmental Revenue | ||
| Rooms | $16,922,312 | 72.5% |
| F&B | $5,525,427 | 23.7% |
| Events | $0 | 0.0% |
| Other Operated Departments | $886,905 | 3.8% |
| Total Revenue | $23,334,645 | 100% |
| Departmental Expenses | ($8,037,531) | (34.4%) |
| Gross Operating Income | $15,297,114 | 65.6% |
| Operating Expenses (A&G, Marketing, R&M, Tax, Insurance, Utilities) | ($3,728,160) | (16.0%) |
| Gross Operating Profit | $11,568,954 | 49.6% |
| Management Fees Base 4% of gross revenue · incentive fee (Palisociety basis) | ($1,166,732) | (5.0%) |
| FF&E & Capital Reserves Replacement reserve at 3% of revenue at stabilization (Palisociety basis) | ($700,039) | (3.0%) |
| Net Operating Income After reserves — the basis on which the asset trades | $9,702,182 | 41.6% |
Distribution waterfall
| Hurdle | Sharing at this tier | To Limited Partners | Cumulative to LP |
|---|---|---|---|
| Tier 1 · Preferred Return Return of LP capital + 8% preferred return, pro rata to contributions |
100% pro rata · 90% LP / 10% GP | $37,557,000 | $37,557,000 |
| Tier 2 · Pro-rata Promote 85% LP / 15% GP promote, until LP has cleared a 25% IRR |
85% LP · 15% GP promote | $34,000,000 | $71,557,000 |
| Tier 3 · GP Upside Kicker 50/50 split above 25% LP IRR — GP captures upside if project outperforms |
50% LP · 50% GP | $2,407,000 | $73,964,000 |
| Total LP Distribution | On $28,706,501 of LP capital | $73,964,000 | 2.58x |
| LP Outcome | $28.7M invested → $74.0M returned · 2.58x equity multiple · 25.8% IRR (Base case). Upside case: 2.95x · 31.3% IRR. | ||
Distributions shown are to the limited partner class in aggregate, at the base case. The sponsor co-invests alongside the LPs at 10% of total equity. At the base case (25.8% LP IRR / 2.58x), the sponsor earns a $8.3M promote. If the project reaches the Upside case (31.3% LP IRR), the 50/50 kicker activates and the sponsor promote grows to $23.3M. Full sponsor economics are set out in the Amended & Restated Partnership Agreement.
Sensitivity
Note on conservatism: the pro forma underwrites Palihouse Monteagle as an independent boutique hotel. The forthcoming Design Hotels / Marriott Bonvoy affiliation is expected to materially lower distribution costs (member-direct bookings) and lift occupancy (loyalty redemption + corporate/group bookings) once live—revenue and margin upside that is not fully reflected in the underwritten 25.8% LP IRR.
All figures derived from the Palihouse Monteagle financial model, v33 (28 August 2026). Every figure above is computed by that model; none is a pasted or published value. Sensitivity scenarios are illustrative and based on adjustments to exit cap rate, ADR and occupancy; they do not represent forecasts. Past performance of comparable properties is not indicative of future results.
Stacking three tiers of public capital.
This project benefits from a rare alignment of three public-finance instruments: Federal Historic Tax Credits (HTC), a Tennessee Commercial Development District (CDD) sales-tax bond financing, and Tax Increment Financing (TIF). Combined, they deliver ~$16.9M of value to the capital stack and meaningfully boost equity returns.
Spotlight: Federal Historic Tax Credit (HTC)
Because Claiborne Hall is on the National Register of Historic Places, the project qualifies for the 20% Federal Historic Rehabilitation Tax Credit on certified rehabilitation expenditures (QREs). For investors, this is one of the most powerful tools in the capital stack.
A second layer of return on top of the deal economics.
Because the HTC is a federal tax credit—not a deduction—every $1 of allocated credit reduces your federal tax bill by $1. For an LP allocated their pro-rata share of the $3.96M HTC pool, that's roughly 13.6¢ of additional after-tax return for every $1 of LP equity, layered on top of the project's underwritten 2.58x LP equity multiple and 25.8% LP IRR.
The pro forma already includes HTC inflows in the 26.6% project-level levered IRR. The additional benefit to a tax-paying investor—the dollar-for-dollar federal liability reduction—is captured in the calculator on the next tab.
The targeted sale falls inside the recapture window.
Under IRC §47 the credit is subject to a five-year recapture period running from the placed-in-service date. Claiborne Hall is placed in service in February 2028, which puts the end of that period at February 2033. The targeted August 2032 exit sits roughly six months inside it, and the model books $399,378 of partial recapture at sale — approximately 10% of the total credit. That amount is already deducted in the returns shown throughout this presentation.
Two things worth noting. The exposure is bounded and small — recapture steps down 20% per year, so by the time of exit the great majority of the credit has vested permanently. And it is avoidable: deferring the closing past February 2033 eliminates it entirely. The hold period is flexible, and the sponsor will weigh the recapture against market conditions at the time.
| Year | HTC Inflow | Cumulative |
|---|---|---|
| 2028 (Year 1 ops) | $792,244 | $792,244 |
| 2029 | $792,244 | $1,584,488 |
| 2030 | $792,244 | $2,376,732 |
| 2031 | $792,244 | $3,168,976 |
| 2032 | $792,244 | $3,961,220 |
| Total | $3,961,220 | $3,961,220 |
Historic Tax Credits are subject to IRS rules under IRC §47, including 5-year recapture if the building is sold or ceases to be used as historic property. Investors should consult their own tax advisors. The ability to use HTCs depends on each investor's federal tax position and passive activity rules.
What does this look like for me?
Enter a hypothetical investment amount to see what your projected LP returns look like in two scenarios — Base (the underwritten pro forma) and Upside (higher RevPAR realized) — both with CDD financing in the stack. The federal Historic Tax Credit pass-through is then layered on top.
Projected returns — Base vs. Upside
Plus federal HTC pass-through (layered on the Base scenario)
Base Case: calculated by multiplying your investment by the project's Base LP equity multiple of 2.577x and LP IRR of 25.79%. Reflects the underwritten pro forma — Palisociety operating assumptions (F&B, R&M, utilities, CC commissions per their 8.28.26 model), Wilson Bank's 7.25% locked rate, $10.65M of CDD proceeds, $28.7M LP equity, and the Kicker waterfall (8% pref · 85/15 to 25% LP IRR · 50/50 above).
Upside Case: calculated by multiplying your investment by the LP equity multiple of 2.947x and LP IRR of 31.3%, reflecting the same capital stack with higher RevPAR growth (+3.5% vs. 3.0% base) and modest exit cap compression (7.25% vs. 7.5%).
HTC pass-through benefit: calculated as your investment ÷ total LP equity ($28.7M) × total federal HTC pool ($3.96M) × the LP class share (90%). Assumes pro-rata allocation per LP percentage. Actual allocation will be set by the partnership agreement and may include a tax-credit investor as a special allocatee.
Effective equity multiple: includes the federal credit as an after-tax-equivalent cash benefit. Investors with insufficient federal tax liability or who are subject to passive-activity limitations may not be able to fully utilize the credit.
From acquisition to exit.
A staged construction approach allows the campus to begin generating revenue in late 2028, with full inventory online by mid-2029. Targeted exit in August 2032, two years after stabilization.
Risks & Mitigants.
Every project of this scale carries real risk. We think investors deserve a clear-eyed inventory of what could go wrong and what we are doing about each one — not a sanitized narrative. The list below reflects the risks we actively manage, not the ones we hope don't materialize.
Construction cost overruns
Hospitality construction — especially adaptive reuse of a 1924 landmark — carries above-average risk of cost overrun from unforeseen conditions, material inflation, and skilled-labor availability in a tertiary market.
$4.49M contingency in the pro forma (5% of hard costs · 4.4% of total development cost). Fixed-price GC contract targeted before construction start. The team has extensive background in ground-up and adaptive-reuse projects. Substantial pre-development and demolition capital is being deployed ahead of construction to de-risk the schedule and cost baseline. Palisociety design standards are locked pre-construction to prevent scope creep.
Ramp / stabilization slower than modeled
Boutique resorts in new markets typically take 24-36 months to reach stabilized occupancy. The pro forma assumes Year 3 stabilization; a slower ramp compresses IRR and could pressure debt service in the early years.
Debt-service reserve funded at closing. Design Hotels + Marriott Bonvoy affiliation active from grand opening — the loyalty and member-direct pipeline materially shortens ramp versus an unaffiliated independent. The Year 3 base case is already conservative relative to Palisociety's typical Year 2 stabilization at existing properties.
Exit cap-rate expansion
Sale valuation is modeled at a 7.5% cap in August 2032 (Year 5 of operations). If cap rates expand 100 bps by exit, sale value drops from $127.5M to approximately $114.1M — a material hit to LP IRR.
7.5% is already conservative versus comparable boutique-resort trades (Habitas, Auberge, Six Senses have traded at 6.0-7.0% caps). The downside case uses 8.5% and the project still returns capital plus the preferred return, at a 11.4% LP IRR and a 1.61x multiple. Hold period is flexible — if 2032 conditions are unfavorable, the sale can be deferred.
Interest rate risk
The Wilson facility carries a fixed 7.25% rate for its first 60 months. From month 61 through to the sale — roughly twelve months — the rate floats at Prime + 0.50%, subject to a 6% floor and an 18% ceiling. A materially higher rate environment over that window reduces cash-on-cash return in the final year of the hold.
Debt sized conservatively at 57.6% effective loan-to-cost. Wilson Bank & Trust has executed a $62.66M senior commitment (August 2026) with the initial 60-month rate locked at 7.25% — well above the modeled draw, providing meaningful cushion. The facility runs interest-only for 36 months, converts to 24 months of P&I on a 25-year amortization inside the lock, and then continues to the sale at Prime + 0.50% (floor 6% / ceiling 18%). There is no refinance to arrange and no takeout risk to carry.
Because the float applies only to the final twelve months, on a loan sitting at roughly 38% loan-to-value, the exposure is small and bounded on both sides. Running Prime across its entire modelled range — from 3.00%, where the 6% floor binds, to 25.00%, where the 18% ceiling binds — moves LP IRR only from 29.8% to 28.7%. The team is nonetheless evaluating swaps and other hedging strategies for that window.
Operator concentration
The project's revenue premium and brand positioning are heavily dependent on Palisociety continuing to operate the property under the terms in the executed operating agreement.
Executed operating agreement (not term sheet) with a meaningful term. Palisociety is a proven boutique operator with 20+ properties — not a startup. The property is design- and brand-aligned with their portfolio, giving them strong incentive to prioritize. The contract includes performance standards and replacement rights if the operator materially underperforms.
Brand / affiliation dependency
The Design Hotels affiliation and Marriott Bonvoy distribution are foundational to underwritten ADR and occupancy. Loss of either would materially affect operating results.
Design Hotels has issued a term sheet with material introductory discounts (indicating strategic value to them). Execution of the definitive membership agreement is a closing condition — it will be signed prior to capital close. Initial 15-year term with two automatic 5-year renewals. Loss of DH would trigger renegotiation, not immediate revenue collapse — Palisociety's own distribution and independent booking channels remain intact.
Local market absorption
Monteagle is a drive-market destination with seasonality. If drive-to leisure demand from Nashville, Atlanta, and Chattanooga softens (e.g., recession, fuel prices), occupancy is directly exposed.
Drive markets (Nashville 90 min, Atlanta 2 hrs, Chattanooga 45 min) cover 12M+ population. The property sits within the pull of established regional demand drivers with full annual calendars — the University of the South (Sewanee) parents' and reunion weekends, Bonnaroo (~80K attendees each June in nearby Manchester), and The Caverns concert venue (year-round programming) — each of which produces built-in room-night demand largely uncorrelated with the macro cycle. Full-property buyouts, weddings, and corporate retreats provide a further revenue floor.
Public-finance execution timing
The CDD ($10.65M), TIF ($2.86M in-hold), and HTC ($3.96M) layers rely on regulatory approvals and specific project milestones. Delays in any layer affect capital timing.
CDD structure has been vetted under Tenn. § 67-6-104 with Paragon Advisors (Shane Hooper, Tray Hairston — TIF/CDD specialists). TIF preliminary approval obtained. The HTC application is proceeding for Claiborne Hall, which is already National Register-listed — the hardest qualifying criterion. All three layers are backstopped by construction reserves so late arrival does not stall the project.
Historic preservation constraints
Claiborne Hall is National Register-listed, which imposes design and material restrictions on the renovation. Non-compliance risks Historic Tax Credit ineligibility.
Pfeffer Torode is designing to Secretary of Interior Standards from day one. A historic-tax consultant has been engaged pre-design to review plans. The HTC application flows through both federal and state (Tennessee THC) review — a well-understood, repeatable process. Nothing in the current design assumes flexibility we have not already confirmed with preservation counsel.
A team built for this project.
Adapt Development and Layne Development are the two development firms whose principals formed College Street Partners — the Tennessee general partnership through which the project is being executed. Palisociety joins as operating partner and equity co-investor.
Sponsor
Distribution & Brand Affiliation
Project Team
Senior Lender
Capital Structure Advisors
A regional landmark with long-term cultural and economic value.
Palihouse Monteagle is more than a hotel—it's a generational asset on a 153-year-old campus, in a market that has waited a long time for a destination of its own. With heritage buildings, a category-defining operator, three layers of public-finance support, and disciplined underwriting, this is a project the team has spent years preparing to build the right way.
Ready to learn more?
The full investor data room includes the current financial model (v33), construction budget detail, room-mix-level operating assumptions, the executed Palisociety operating agreement term sheet, the College Street Partners Disclosure Statement and Amended & Restated Partnership Agreement, and HTC/CDD/TIF structure memoranda.
Request Data Room Access Download One-Pager (PDF)Important. This presentation is confidential and is furnished by College Street Partners (“CSP”), a Tennessee general partnership, solely so that a potential investor may evaluate whether the potential investor has an interest in proceeding with further discussions regarding a possible purchase of partnership interests issued by CSP. It does not constitute an offer to sell or a solicitation of an offer to buy any securities and is not investment advice. Recipients are encouraged to read this presentation and all other materials furnished by CSP, including the Disclosure Statement and the Amended & Restated Partnership Agreement, before making any investment decision. Forward-looking statements reflect expectations only as of the date hereof and are subject to risks and uncertainties; CSP does not undertake any obligation to update them. Except as may be set forth expressly in a written agreement executed by CSP and you, none of CSP, its affiliates, and their respective partners, members, officers, and agents makes any representations or warranties or assumes any responsibility with respect to an investment in CSP or any materials, statements (including financial statements and projections), or information provided here. Recipients should consult their own legal, tax, and financial advisors.
Design Hotels.
Marriott Bonvoy. Investor advantage.
Palihouse Monteagle will join Design Hotels—the curated boutique collection within the Marriott portfolio—giving the property the independent design-forward identity our brand demands and the global distribution scale only Marriott can provide. For investors, this is one of the strongest non-physical drivers of return in the entire deal.
Two distinct brands, one connected ecosystem
By the numbers
Five ways this lifts the investment
Each of these flows directly to NOI and exit valuation, and is not fully reflected in the underwritten 25.8% LP IRR.
The Bonvoy guest profile
Independent identity. Marriott reach.
Press & recognition
Palisociety properties have built one of the most decorated press portfolios in independent boutique hospitality.
Peer set: Design Hotels alumni
A curated group of independent boutique hotels we'd be proud to be listed alongside.
Negotiated term sheet — material concessions secured
Design Hotels has issued a term sheet (dated January 5, 2026) outlining the principal business terms for Palihouse Monteagle's membership. Notably, DH applied significant introductory discounts — a strong indicator they consider Palihouse Monteagle a strategically valuable addition to the collection.
| Fee | Amount | Discount Applied | Cadence |
|---|---|---|---|
| Initial Membership Fee Due on Agreement execution |
$6,420 | 50% off | One-time |
| Annual Membership Fee Includes both 5-yr renewal periods |
$20,063 | 25% off | Annual · 3% escalator |
| Annual Services Fee Includes both 5-yr renewal periods |
$7,558 | 60% off | Annual · 3% escalator |
| Distribution Tech Fee Tiered by support hours used |
$0 – $1,200 | — | Annual |
| Total fixed annual cost (Year 1) | ~$27,621 | Approx. 0.11% of stabilized hotel revenue | |
In addition to the fixed fees above, distribution-channel fees apply on a per-booking basis (e.g., 13% via designhotels.com, 11% via Marriott Direct, 5% + $5.35 via GDS, 1% via Palihouse Monteagle's own website). A 4% Bonvoy loyalty program fee applies to qualifying revenue. These variable fees are typically materially lower than the OTA commissions (15–25%) an unaffiliated independent hotel pays on equivalent bookings.
DH discounted three of the four fees — collectively ~40%+ off list. They want this property in the collection.
Integration timeline
| Stage | Milestone |
|---|---|
| Jan 2026 | Design Hotels term sheet issued — principal business terms negotiated. Discounts secured (IMF 50%, AMF 25%, ASF 60%). |
| Construction phase | DH curatorial review, fire & life-safety third-party audit (cost included in IMF), brand criteria compliance walkthrough. |
| ~6 months pre-opening | U.S. Services and Membership Agreement executed. Marriott systems integration begins (PMS, distribution, loyalty). |
| By May 1, 2029 | Starting Date — property goes live in Bonvoy. Bookable on marriott.com, designhotels.com, GDS, and through Marriott group sales. |
| Years 1–15 | Bonvoy marketing co-promotion · Design Hotels editorial inclusion · seasonal campaigns · member redemption nights · automatic 5-yr renewals (15-yr horizon). |
Lower CAC. Higher occupancy. Better exit multiple. All without giving up the Palihouse.
Design Hotels has issued a non-binding term sheet (dated January 5, 2026) outlining the proposed business terms for Palihouse Monteagle's membership. The term sheet is, by its express terms, a "non-binding expression of interest" — final terms are subject to execution of a definitive U.S. Services and Membership Agreement and to Design Hotels' standard fire/life-safety audit and curatorial confirmation. Term sheet figures presented here (fees, discounts, starting date, 109-room reference, 15-year term structure) are drawn directly from the negotiated document. Marriott Bonvoy and Design Hotels are trademarks of Marriott International, Inc. Bonvoy member, property, and revenue figures are based on Marriott International's most recent public disclosures. The term sheet is governed by the laws of the State of Maryland. The contents of the term sheet are confidential per its own confidentiality provisions; this material is shared only with approved investors who have accepted the confidentiality acknowledgement gating this offering memorandum.