San Juan Capistrano, Calif., Jan. 26, 2015 – Lodging industry veteran Ken Cruse today announced the formation of Alpha Wave Capital (AWC), a private, multi-strategy real estate investment platform. AWC will look to capitalize on cyclical and short-term value opportunities in the lodging space. Through a multi-platform model, AWC plans to invest in lodging assets, including securities, real estate, lodging companies or lodging-related businesses. AWC will apply a broad-spectrum
approach, targeting both long and short positions with the objective of building a portfolio of investment vehicles that include both direct (value-add) and indirect (securities or debt) investments.
Given the mature state of the current lodging cycle, AWC plans to form an open-ended, long / short hedge fund focused on publicly-traded lodging company securities as its initial investment vehicle.
“Alpha Wave Capital will seek out value-add opportunities through creative, cycle appropriate investments for all phases of the lodging cycle,” said Ken Cruse, Founder and Managing Partner of Alpha Wave Investors, LLC and Alpha Wave Capital. “As we move further into the mature phase of the lodging cycle, now an optimal time to launch a long / short hedge fund focused solely on the lodging space. Lodging equities tend to follow an identifiable re-pricing pattern in advance of
cyclical inflections. We believe our innate knowledge of the lodging cycle, proprietary modeling techniques, key industry relationships and our ability to quickly and efficiently shift from long to short positions will enable Alpha Wave Capital to generate superior investor returns through all phases of the lodging cycle.”
Ken Cruse brings more than 25 years of lodging industry experience, relationships and cycle knowledge to Alpha Wave Capital. From August 2011 through January 2015, Cruse served as CEO of Sunstone Hotel Investors (NYSE:SHO), a $5 billion TEV Lodging REIT. Under Cruse’s leadership, Sunstone reduced its leverage by more than any other lodging REIT, acquired over $1 billion in high quality hotels and enhanced the competitive positioning of its portfolio through comprehensive, well timed hotel renovations. Most importantly, under Cruse’s tenure as CEO, Sunstone generated average annual total shareholder returns in excess of 30 percent.
About Alpha Wave Investors
San Juan Capistrano, Calif.-based Alpha Wave Investorsis a private real estate investment platform. Alpha Wave Investor's strategy is to exploit well known, but poorly understood market re-pricing patterns in the lodging space through various investment strategies. Alpha Wave investment vehicles may include one or more long/short hedge funds for investing in lodging securities, as well one or more private equity funds for direct investments in lodging assets, debt, or whole companies. Founded in January of 2015, the company’s name — Alpha (creative, disciplined, intelligent investing) and Wave (in reference to the cyclical nature of the lodging business) – reflects its philosophy of smart, clear, calm and creative investing for all phases of the lodging cycle.
For more information,
contact Ken Cruse directly and
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