JLL Secures $354M for Hotel Construction
JLL, Chicago, secured $354 million in construction financing for hotel assets in Washington and Texas.
JLL Managing Director Dustin Stolly and Senior Vice Presidents Samantha Fisher, Mike Huth and Brett Rosenberg arranged $260 million on behalf of The Witkoff Group and New Valley LLC for West Hollywood EDITION Hotel & Residences, a Los Angeles hotel and condominium development. Cornerstone Real Estate Advisors, Hartford, Conn., provided the loan.
EDITION Hotels, a partnership between Marriott International and the Ian Schrager Co., opened its first U.S. property in Miami Beach in 2014. The West Hollywood location marks the brand’s first presence on the West Coast. It will include 190 hotel rooms and 20 condominiums in its 487,000 square feet.
“Given its programming, brand affiliation and prime location at Sunset and Doheny, this project is uniquely positioned within the West Hollywood and Beverly Hills submarkets, which are both experiencing strong revenue per available room growth driven by extremely favorable supply and demand fundamentals,” Fisher said.
In Texas, JLL Managing Director Tim Jordan and Executive Vice Presidents Drew Kiesling, Dan Bryson and Bill Grice secured $71.9 million in construction financing and $22.1 million in mezzanine financing for The Renaissance at Legacy West, a proposed 304-key hotel in Dallas submarket Plano.
BancorpSouth Bank, Tupelo, Miss., provided the construction loan to Moon Hotel Legacy Ltd. while Brevet Capital Management provided the mezzanine debt.
Jordan called the greater Legacy market one of the most dynamic markets in the country for corporate relocations and future corporate headquarters. “The continued corporate growth in the market will drive lodging demand,” he said. “Many lenders were drawn to this project given the location, strong sponsorship and the global hotel brand.”
The Renaissance at Legacy West will also include 26,000 square feet of meeting space and 10,000 square feet of retail space at the entrance of the new Legacy West mixed-use development, Jordan said.
