Home Depot referral service expands

Home Depot Inc., the world’s largest home improvement retailer, is accelerating the national rollout of its online handyman referral service Redbeacon to tap demand from homeowners who don’t want to do fix-it projects themselves.

Redbeacon, which connects consumers with painters, plumbers, carpenters and maids, expanded last week through Home Depot to Oregon, Washington, Idaho, Utah, Montana and Alaska. That puts the service in 11 states as the service pushes nationwide over the next two years, CEO Officer Anthony Rodio said in an interview Wednesday.

Founded by three former Google Inc. employees five years ago, Redbeacon is Home Depot’s third acquisition since 2012 aimed at selling more home-installation projects. While those services account for only 4 percent of the retailer’s revenue, it underpins Home Depot CEO Frank Blake’s push to drive more sales through his roughly 2,000 U.S. stores as rising home prices spur renovation.

“It’s another way for Home Depot to try to attract repeat customers to their stores over Lowe’s,” said Walter Todd, who oversees about $950 million as chief investment officer at Greenwood Capital Associates. The firm owns 43,500 Home Depot shares and 92,000 shares of Lowe’s Cos.

Equity funds escalate hotel property sales

Private equity firms are accelerating sales of hotels to take advantage of a recovery in U.S. lodging demand and stock prices close to record highs.

Hotel property transactions jumped 47 percent to $14.1 billion this year through July in the U.S., according to Real Capital Analytics Inc. Sales by institutional investors, including private equity funds, more than doubled in the first half as the growth of revenue per available room slowed. Blackstone Group LP, the largest buyout firm, has decided now is the time to sell shares as it prepares initial public offerings of Hilton Worldwide Holdings Inc. and Extended Stay America Inc.

A recovery in travel after the last recession has led to hotel real estate values almost doubling since a low in the 2009, based on an index from research firm Green Street Advisors Inc.