Midland Fund, which was founded by an investor and his wife, has announced plans to raise about $10 million in a private round.
The investment firm, which has not disclosed the name of its investors, plans to use the money to finance the development of a new, larger Midland hotel that will open in 2020.
The company, which also is a founding member of the Midland Capital Fund, said in a statement that the funding will help to expand its offerings to a variety of clients.
Midland, which is based in the northern suburbs of Dallas, also will expand its reach into new markets through partnerships with hotel and restaurant chains, the company said.
“We are excited to have an opportunity to further expand our customer base through our new hotel, and we are committed to building a better Midland for our guests,” said Robert L. Kochel, CEO of Midland.
“Our goal is to have the hotel open in 2019 and will provide our guests with a comfortable and well-equipped venue for events, and an opportunity for our customers to enjoy Midland at a fraction of the cost.”
Midland said it will invest in the hotel with a focus on expanding its services and operations, including expanding its mobile app and online platform, the Midlands hotel and convention center and the development and operation of its hotel restaurant, which will include an upgraded kitchen, bar and dining areas.
Midlands plans to invest in a new hotel and a mobile app that will allow its guests to schedule events and stay connected with the hotel.
It will also invest in its existing business and will expand it with a new business focus, said Jeff Stauffer, Midlands president and CEO.
“The new hotel will provide a new opportunity for the company to grow our business, and it will help us grow our existing business,” Stauffers statement said.
The development of the new hotel is expected to bring an additional $2.3 million to the company, the statement said, and is expected be completed in the first quarter of 2020.
Midlanders current hotel is located at the former Fort Worth Convention Center site, where it was developed in 2014 by the Midlanders.
Midlander also has a new property in downtown Dallas, called the Midlander Center, where the company plans to open its own hotel in 2019.
Staufer said that in 2018, Midland and Midland Partners LLC, a venture capital fund that is managed by the company’s current Chairman and Chief Executive Officer, launched the company-managed Midland Ventures fund.
The fund has also invested in a number of companies, including an investment in Uber and a fund for hedge funds that was led by the hedge fund manager Paul Singer.
In January, Midlanders chief executive officer and founder Tom Kocher told investors that the company is investing in a range of businesses and services, including a mobile application that will let customers book events.
“If we want to be competitive with the best, we have to build our own app,” he said.
MidLand, which serves the Texas, Oklahoma and Kansas markets, is the latest company to launch its own property.
Last week, The Wall Street Journal reported that the hotel is eyeing the construction of a $2 billion hotel in downtown Oklahoma City.
The Midland property, which the company hopes to open in 2021, is expected for a major expansion to its existing property.
Midlays plan to invest $250 million in the new property, and Midlands said it is also expanding its business offerings through partnerships, partnerships with restaurant chains and other businesses.
“This is a great opportunity to add new jobs, and our goal is not only to grow the business, but also to grow Midland,” Steeffer said.