Dealmaker: Access Point Financial Participates in $75M Mezzanine Financing

(Illustration courtesy of Access Point Financial)

Access Point Financial, Atlanta, participated in providing $75 million in mezzanine financing for the 30-story Pendry Hotel & Residences in Nashville, Tenn.

A Walker & Dunlop capital markets team led by Aaron Appel, Keith Kurland, Jonathan Schwartz, Adam Schwartz, Michael Diaz, Sean Bastian and Jackson Irwin arranged $253 million in construction financing for the property.

The loan bridged the gap between a first mortgage from Bank OZK and the sponsor’s equity to facilitate construction. Access Point Financial acted as the hotel-specific capital provider to New York-based private equity group, InterVest Capital Partners, of which APF is a portfolio company.

Developed by SomeraRoad, New York and Nashville, the $370 million project will evolve into the new anchor of The Gulch District, a mixed-use LEED-certified community in Nashville. The Gulch District is the first LEED neighborhood in the South.

Located two blocks from Music City Center on the southwest corner of Nashville’s business district, the hotel will include 180 rooms, 146 condominium residences and three food and beverage outlets.

Access Point Financial CEO & Chairman of the Board Michael Lipson said the firm can deliver hotel bridge debt, hotel CMBS, sub-debt, gap financing and preferred equity investments as well as SASB risk-retention tranches and discounted note purchases for the financing of hotels transactions nationwide.