2005 Transactions
Tremont Structures $11,000,000
Senior/Mezzanine Financing for Chicago Area Hotel
The
Chicago office of Tremont Realty Capital arranged financing
for the refinance and redevelopment of a 195 room, full-service
Double Tree Club Hotel with approximately 6,300 square feet
of meeting space in Palantine, IL, a northwest suburb of
Chicago. The property is to be redeveloped under the Hotel
Indigo brand with the Intercontinental Hotels Group.
Michael Hart, a Senior Director with Tremont,
arranged the 36-month, $4,000,000 mezzanine loan, which
was funded through a correspondent investment fund and provided
for roughly 85% loan-to-cost. The existing senior mortgage
was restructured to accommodate the infusion of the fresh
capital. According to Hart, "The additional mezzanine
financing allowed the borrower to renovate and re-flag the
asset into a new boutique Indigo concept from Intercontinental
Hospitality Group. The client was pleased with the high
leverage solution which eliminated the need for additional
partners and dramatically lowered the cost of capital."
For additional information on this transaction,
please contact:
Michael Hart
Senior Director
Email: mhart@tremontcapital.com
Phone: 312.236.1162
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