Fathom Companies, which includes Fathom Real Estate Development and Fathom Hotel Management, has engaged industry veteran Larry Spelts to lead the company’s portfolio growth through both additional third-party management opportunities and development opportunities.

Having grown four management company portfolios since 2009, Spelts brings a wealth of experience in scaling hospitality management companies and is spearheading Fathom’s strategy to expand its portfolio. A key part of the growth strategy that Spelts will deploy on Fathom’s behalf is focused on the current glut of product improvement plans (PIPs), according to the company.

“We have the ability to help hotel owners who don’t have the project management capacity and/or the finance resources to execute a PIP,” said Spelts. “Fathom’s VP of finance and I collaborated to model a typical management deal whereby Fathom could, contingent upon diligent underwriting, propose key money to earn management of an asset and its PIP project and thereby provide an owner a path toward satisfying their brand’s PIP requirements.”

In addition to PIP assistance, Brandon Hussey, VP, hospitality management, added, “In cases where an existing management contract needs to be terminated, Fathom has assisted with covering a portion of the cost of early termination fees or liquidated damages where it makes good financial sense for us to do so.”

Fathom Companies began as a real estate developer and has evolved into hotel management. It developed and opened The Press Hotel in 2015 and opened the Canopy by Hilton in 2021, both located in downtown Portland, ME. These hotels have achieved recent RevPAR penetration indices of 238% for the Canopy and 280% for The Press Hotel, according to the company. The Fathom portfolio includes four hotels under management and two others in development.

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