One month after announcing a hotel expansion to Maui, the Outrigger Hospitality Group said Friday it is making a similar move to Kauai.
The Honolulu-based resort and hotel company said it is acquiring the Kaua‘i Beach Resort &Spa for an undisclosed price. The deal for the 350-room resort on 25 acres in Lihue is expected to be completed Aug. 22.
“Kaua‘i Beach Resort &Spa was managed by Outrigger in the ’90s, so this transition feels like a welcome home,” Jeff Wagoner, president and CEO of Outrigger Resorts &Hotels, said in a news release. “We look forward to further enhancing the property for both our guests and hosts.”
In May the company announced it was acquiring the 432-room Ka‘anapali Beach Hotel, long known as Maui’s “most Hawaiian hotel,” in a deal expected to close July 26. The purchase includes The Plantation Inn, an 18-room bed-and- breakfast near Lahaina’s historic Front Street.
The two resorts, the company said, will be rebranded to Outrigger Kaua‘i Beach Resort &Spa and Outrigger Ka‘anapali Beach Resort.
While the chain already has vacation condominium properties on both islands, the acquisitions would mean that Outrigger will now have a full-service resort on all four of the major Hawaiian Islands.
The Kauai resort will be the seventh acquisition the company has made in the last two years. All told, Outrigger will be operating 34 properties following this summer’s acquisitions, including resorts in Fiji, Thailand, Mauritius and the Maldives.
There will be 27 properties total in Hawaii.
“Outrigger’s legacy in Hawai‘i spans 75 years,” Wagoner said. “We remain committed to being exceptional stewards of this special place and its rich cultural heritage, while contributing to the prosperity of the local community.”
Founded in Hawaii by Roy and Estelle Kelley in 1947, the company in 2016 was acquired by KSL Capital Partners, a Denver-based private equity firm specializing in travel and leisure.
In the past two years Outrigger added five other full- service beach resorts to its chain of properties, including Outrigger Kona Resort &Spa on Hawaii island, as well as three properties in Thailand and a five-star resort in the Maldives.
Wagoner told the Honolulu Star-Advertiser in May that the company will continue to seek out opportunities to add to its asset portfolio.
“Regardless of external market factors, Outrigger is always seeking strategic opportunities to expand its footprint in iconic beach destinations that provide guests with authentic local experiences and unparalleled hospitality,” he said.
In addition to the acquisitions, Outrigger has been reinvesting substantially in recent years. Wagoner said renovations to all three Thailand properties were completed earlier this year.
Outrigger Reef Waikiki is wrapping up an $85 million hotel transformation, while a $65 million renovation of the Outrigger Kona Resort &Spa is expected to be completed by year’s end.
Wagoner said Outrigger is in the planning stages for a renovation at the Ohana Waikiki East by Outrigger, where a room model has been completed.
“We anticipate starting a $55 million renovation at the end of this year,” he said.