RED WING, MINN. — Marcus & Millichap has arranged the $2.2 million sale of Best Western Rivertown Inn & Suites, a 50-room hotel in Red Wing, a city in southeast Minnesota. Jon Ruzicka, an investment specialist, and Gordon Allred, first vice president at Marcus & Millichap, represented the buyer and the seller, both Minnesotata-based limited liability companies. Best Western Rivertown Inn & Suites is located at 752 Withers Harbor Drive.
NEW YORK CITY — The Carlton Group has arranged $815 million in construction and mezzanine refinancing for the development of Marriott International Inc.’s new luxury Edition brand hotel at 701 Seventh Ave. in Times Square. The financing includes a new $237.5 million mortgage and $315 million mezzanine loan. Marriott will operate the 452-room boutique hotel, which is owned by a partnership. Marriott agreed to purchase the hotel portion of the property for $314.6 million during the first two years after opening. The new Edition hotel will feature 30,000 square feet of food, beverage and entertainment space. Construction is slated for completion in 2017.
MIAMI — HFF has arranged $31.5 million in financing for two Palm Beach County Hampton Inn hotels in two separate transactions. Elliott Throne, Mike Kavanau and Alexandra Lalos of HFF arranged both fixed-rate loans with 10-year terms through Morgan Stanley Mortgage Capital Holdings Inc.
CHICAGO — Jones Lang LaSalle (JLL) has secured $43 million in construction financing for a 190-unit, boutique apartment building in Chicago’s West Loop submarket. JLL arranged $37.5 million in debt financing through First Merit Bank and an additional $5.5 million in equity from Oak Realty for JeffJack Investments LLC. Located at 601 W. Jackson Blvd., the site will include apartment units and ground-floor retail. Units will feature open floor plans, floor-to-ceiling windows, stainless steel appliances and modern fixtures. Construction will begin later this month with first occupancy by spring 2015. Dave Hendrickson, managing director, and Keith Largay, executive vice president, led the JLL team in the transaction.
NEW YORK CITY — Chesterfield Faring Ltd. (CFL) has arranged a $31 million loan for the refinancing of Hotel Americano, a 56-room hotel located at 518 W. 27th St. in Manhattan. Hotel Americano features a rooftop pool, two restaurants and three separate bars. Jordan Roeschlaub, Daniel Fromm and Jordan Shrier of Chesterfield Faring arranged the financing for an affiliate of Blackhouse Development. Chesterfield Faring Ltd. is a real estate investment banking firm specializing in real estate and corporate finance. Blackhouse Development is a real estate investment company specializing in the acquisition, development and operation of residential, office and hospitality assets based in New York City.
THE WOODLANDS, TEXAS — Hyatt Hotels Corp. and developer New Horizons Hospitality have opened the new 146-room Hyatt Place Houston/The Woodlands. The third Hyatt Place in the Houston metro area, the property includes a 24-hour fitness center, a coffee-to-cocktails bar and more than 6,100 square feet of meeting space. The location is in proximity to attractions such as the Cynthia Woods Mitchell Pavilion, Woodlands Mall, Market Street and Woodlands Waterway, as well as several corporate campuses.
EDNA, TEXAS — BMC Capital has arranged a $2.3 million cash-out refinance loan for the 43-unit Best Western Inn in Edna, approximately 25 miles east of Victoria on the Gulf Coast. The property, which features complimentary breakfast, high-speed internet and a swimming pool, is in close proximity to Lake Texana, as well as the facilities of Formosa Plastic Corp. The two-year loan includes a fixed rate of 8 percent and a 25-year amortization schedule. James Tennial of BMC arranged the terms through one of the firm’s correspondent lenders.
DALLAS — Newmark Grubb Knight Frank (NGKF) Hotels has brokered the sale of a 130-suite Hilton Homewood Suites in downtown Dallas. Transformed from an office building, the 10-story property includes amenities not typically found in hotels such as a half basketball court, golf simulator room, video game room and billiard room. The hotel, which is located on the northeast corner of North Griffin and Elm streets, also features eight meeting rooms totaling 4,412 square feet, an exercise room, indoor swimming pool and parking garage. Access to the Dallas Area Rapid Transit light rail line, city bus route and Woodall Rodgers Freeway provide accessibility for the asset. Rick Besse, Bhavesh Patel and Sam Winterbottom of NGKF represented the seller, Lowen 1025 Elm LP, in the transaction.
SAN DIEGO – Trigild has taken over a portfolio of five franchised hotels throughout California. This includes three Marriotts, a Best Western and a Holiday Inn Express. Trigild was appointed receiver of the hotels by the Superior Court of California, County of Monterey. The firm will take possession of the hotels and will manage their daily operations while legal action is pending. The hotels included in the court-appointed receivership include the 139-room Courtyard Marriott in San Luis Obispo; the 93-room TownePlace Suites/Thousand Oaks and the 120-room Courtyard Marriott in Thousand Oaks; and the 120-room Best Western Valencia and the 118-room Holiday Inn Express Valencia in Valencia.
NEW ORLEANS — Lowe Enterprise Investors has acquired the Royal St. Charles, a 143-room hotel in New Orleans, on behalf of an investment client. The hotel is located at 135. St. Charles Ave., between the city’s French Quarter and the New Orleans Convention Center. Destination Hotels & Resorts, an affiliate of Lowe Enterprise Investors, will manage the property as an independent, boutique hotel. The 10-story hotel features 2,610 square feet of meeting space, a fitness center and a PJ’s Coffee and Café eatery. The hotel also features balconies overlooking St. Charles Avenue, which is on the primary Mardi Gras parade route. Russell Munn of Lowe Enterprise Investors and Rick Rush of Lowe Hospitality Group led the acquisition team in the transaction. Larry Wolfe and Adam Etra of Eastdil Secured represented the seller, a joint venture between Clearview Hotel Capital and WHI Real Estate Partners.
