NATIONAL REPORT—From selling hotels to securing financing, the hotel industry has seen a lot of activity. Some of the players include Sonnenblick-Eichner Co., Madison Realty Capital, JLL and HREC. Here’s a closer look at recent hotel deals:
Sonnenblick-Eichner Co. Arranges Financing for New Orleans Property
Sonnenblick-Eichner Company has arranged $46 million of interim first mortgage financing for the Maison Dupuy, a five-story, 200-room, full-service, boutique hotel located in the French Quarter of downtown New Orleans. Proceeds from the five-year non-recourse LIBOR-based loan will be utilized to pay off the existing indebtedness and provide funds for the renovation of the property. The hotel is located two blocks off of Bourbon St. at the corner of Toulouse St. and Burgundy St.
Madison Realty Capital Provides Loan for NYC Hotel
Madison Realty Capital provided an $83 million loan to recapitalize a 230-room hotel at 25 West 51st St. in Midtown Manhattan, located across from Rockefeller Center. Loan proceeds allowed the borrower, hotelier Sam Chang, to retire the existing debt on the property and transition the hotel to another brand. Chang is the founder/chairman of McSam Hotel Group, a Long Island, NY-based hotel development firm. The transaction closed within a rapid three-week timeframe.
JLL Closes Sale of Courtyard by Marriott Hotel Portfolio
JLL has sold a hotel portfolio consisting of five Courtyard by Marriott hotels totaling 731 rooms in San Antonio, TX, Baltimore and Washington, DC. JLL marketed the property on behalf of the seller, Colony Capital Inc. A partnership between Flynn Properties Inc. and EMA Lodging Group Inc. purchased the assets. Flynn Properties Inc. is entering the select-service hotel market with this five-property acquisition. The portfolio comprises two properties in San Antonio, TX, which are the Courtyard San Antonio Airport and Courtyard San Antonio Medical Center, and two suburban Washington, DC locations, which are the Courtyard New Carrollton Landover in Landover, MD and Courtyard Fairfax Fair Oaks in Fairfax, VA. The portfolio has one Baltimore-area property, Courtyard Baltimore Hunt Valley in Hunt Valley, MD.
HREC Arranges Sale of Home2Suites by Hilton Prattville, AL
HREC Investment Advisors has sold the 90-room, upscale extended-stay Home2Suites located in Prattville, AL. The hotel was acquired by an affiliate of Legendary Capital. HREC Investment Advisors was the sole and exclusive advisor to the seller, an affiliate of Peachtree Hotel Group (Peachtree). The sale was negotiated by Monty Levy, managing director, and Tom Huegel, SVP, in the Atlanta office.