ARLINGTON, VA. — Ashford Hospitality Trust has closed a $105 million loan with Deutsche Bank secured by the Marriott Crystal Gateway in Arlington. The 10-year term loan, which carries a fixed interest rate of 6.26 percent, will replace an existing $60.3 million loan on the property that had an initial maturity date in March 2012. The excess loan proceeds will be used to pay down the company's credit facility and for general purposes.
MOUNT PROSPECT, ILL. — Casto Lifestyle Properties has selected Rosemont, Ill.-based McShane Construction Co. to construct a new 120-room Hampton Inn & Suites at Randhurst Village, a 100-acre, mixed-use development in Mount Prospect. The four-story, 166,650-square-foot hotel will feature conference areas, a fitness center, a swimming pool and 24,242 square feet of ground-floor retail space. Additionally, the hotel will feature sustainable features, including energy efficient HVAC and water systems, natural lighting and a construction waste recycling program. Construction is scheduled for completion in spring 2011.
NEW YORK CITY — A joint venture between Highgate Holdings and Rockpoint Group has acquired the Milford Plaza Hotel from an affiliate of Ogden CAP Properties. The hotel, constructed in the 1920's, is located in Manhattan's Theatre District, less than a block from Times Square. The new buyer plans to redevelop the property. Construction will include an upgrade to the infrastructure and public spaces, a renovation of the guest rooms, and the addition of a restaurant and retail space on the building's ground floor. Hodges Ward Elliott was the exclusive broker in the deal.
LAKE ELSINORE, CALIF. — Marcus & Millichap has announced the sale of a 73-room Holiday Inn Express and Suites located at 31573 Canyon Estates Drive in Lake Elsinore. The brokerage firm’s Tony Azzi represented both the private-investor buyer and the seller, a developer, in the transaction.
RICHMOND, VA. — Willis Hotels has acquired an Econo Lodge hotel in Richmond. Affiliates of Allen Management sold the property for an undisclosed price. The buyer plans to renovate the hotel and retain the Econo Lodge franchise. David Mumford and Steve Kirby of The Mumford Company represented the seller in the transaction.
NEW YORK CITY — Gemini Real Estate Advisors has broken ground for the new GEM Hotel Union Square. The 18-story, 113-room hotel will be located at 52 W. 13th St. within Manhattan's Greenwich Village neighborhood. It will include a full-service restaurant and lounge, a fitness center and a business lounge. Upon completion, which is expected in 2012, the hotel will be the fouth GEM hotel in Manhattan, joining locations in Chelsea, Midtown West and SoHo. Gemini owns the hotel and will operate it. Andres Escobar designed the hotel, and Gene Kaufman Architect is the project architect. KSK Construction Group is the general contractor.
PHILADELPHIA — San Francisco-based Kimpton Hotels & Restaurants has acquired Philadelphia's Lafayette Building and plans to convert it into a four-star hotel. Constructed in 1906, the Lafayette Building is located across from Independence Hall. Once groundbreaking occurs in spring 2011, its 11 stories will be converted into a Hotel Monaco that will feature 271 rooms, a chef-driven restaurant and bar, and 12,000 square feet of meeting space that will include a 3,200-square-foot ballroom. The opening is slated for the third quarter of 2012. Kimpton made the purchase on behalf of its Kimpton Hospitaliy Partners II equity fund, which also ownes the nearby Hotel Palomar that opened last October.
BOSTON — Berkadia Commercial Mortgage has originated a $7 million loan for the refinancing of a Marriott Residence Inn located in suburban Boston. The hotel was built in 1999 and contains 108 rooms. The loan carries a 5.3 percent fixed interest rate, a 5-year term, a 25-year amortization schedule and a 60 percent loan-to-value ratio. Fred Fanganello and Brian Huff of Berkadia's Denver office secured the loan on behalf of the borrower, a national hotel REIT, through a national bank. The parties involved were not released.
NEW YORK CITY — Blackstone has acquired a $72 million mezzanine loan from a joint venture between Fortress and Northstar. The loan is secured by the Columbia Sussex hotel portfolio, which comprises 14 hotels and approximately 5,800 rooms located nationwide. Thirteen of the properties have been recently rebranded from the Wyndham flag to Starwood, Hilton, Sheraton and Marriott hotels. Blackstone originally sold the portfolio to Columbia Sussex in 2005. Savills served as advisor to Fortress and Northstar in the deal.
MINNEAPOLIS — San Francisco-based Kimpton Hotels & Restaurants has added The Grand Hotel Minneapolis to its hotel management portfolio. Owned by Pebblebrook Hotel Trust, the four diamond-rated hotel is located in downtown Minneapolis. Under Kimpton management, the hotel will feature personalized services, programs and amenities such as Tall Rooms, which are customized for tall guests.