Graduate Hotels

Campus Lodging Assets Program CLASS®

How CLASS® Works

Primary roles & responsibilities


AJ Capital


Ground lessor

University leases hotel land to AJ as a part of the partnership; University retains ownership of that land and receives annual or upfront ground rent from AJ.

AJ Capital

Ground lessee/hotel owner

AJ owns the leasehold interest of the land, allowing the right to operation and revenue. Pays annual or upfront ground rent to university partner.

Hotel brand

The Graduate Hotels® brand serves as the value proposition for the hotel's guest experience.

Hotel operator

The Graduate Hotels® brand handles on-property execution of the hotel's hospitality brand standards and services.

Typical Program

Bringing CLASS® partnerships to life.

  • Ground lease & financing

    Ground lease & financing

    The hotel project site is conveyed via a ground lease to AJ for an average of 70-99 years. AJ fully finances the transaction.

  • Vision, design, & planning

    Vision, design, & planning

    AJ designs the hotel to fit hyper-localized hospitality mode. AJ takes all steps to obtain permits and execute the hotel.

  • Construction & preparation

    Construction & preparation

    AJ oversees the end-to-end construction plan for the hotel. As full owner of the project, AJ assumes all risk for construction completion and budget.

  • Graduate Hotels® launch

    Graduate Hotels® launch

    AJ launches the new Graduate Hotel property—remaining responsible for operations and financials. AJ owns and operates the project during the term of the ground lease.

  • Hotel operation & maintenance

    Hotel operation & maintenance

    During the ground lease term, the university receives annual lease payments, and AJ receives the hotel’s net cash flow. The hotel reverts to the university after the lease.

Meet our CLASS®-Mates

Open Open & Operating Under Development Coming Soon

Our boutique hotel collection targets dynamic university towns across the US and the UK. View Graduate’s Portfolio

CLASS® Program Partnerships

CLASS® Program Partnerships are public-private partnerships that provide business and real estate consulting services to colleges and universities. CLASS® helps them manage, operate, finance, and develop assets in the hospitality field, including hotels, restaurants, and other hospitality facilities.

Want to learn more? We’d love to hear from you.

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