(Bloomberg) -- Centerbridge Partners is extending its bet on marina real estate with a new joint venture that plans to acquire more than $1.25 billion worth of property.

The firm is partnering with Suntex Marina Investors and other institutional investors, according to a statement Wednesday. Suntex will contribute capital to the partnership and receive management fees. The joint venture has obtained a revolving credit facility of as much as $600 million led by Wells Fargo & Co., according to the statement.

Centerbridge helped recapitalize Suntex in 2021, at a time when the pandemic recovery was driving consumer spending on boats, recreational vehicles and other leisure activities. The following year, Bloomberg News reported that Suntex hired a lead underwriter for an initial public offering that may have valued the company at more than $3 billion. 

But Suntex later opted to raise private capital instead as investor demand for IPOs broadly dwindled, according to people familiar with the matter who asked not to be identified citing private information. A representative for Centerbridge declined to comment.

New boat sales have declined from early-Covid peaks, partly the result of higher interest rates and a reversion to pre-pandemic trends. Even so, Centerbridge sees a shortage of marinas boosting Suntex as it seeks to consolidate a fragmented industry.

The Dallas-based firm acquired rival operators Westrec in 2022, and Almar earlier this year, bringing its property count to 88.

“The marina industry has shown consistently strong fundamentals for many years, as enthusiasts have invested in more and bigger boats while the availability of high-quality marinas and boat storage remains scarce,” William Rahm, global head of real estate at Centerbridge and chairman of Suntex, said in a statement.

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