The three-year financing, which was secured by Tim Wright and Scott McMullin of Holliday Fenoglio Fowler LP, was provided by Bank of America. Wright says that construction financing is hard to land in today's hotel market, as there is a "limited number of lenders and the leverage is less than you would get on a traditional property type." However, Bank of America recognized that it was a unique opportunity to introduce a boutique hotel into a market that is mainly filled with business-oriented hospitality product, according to Wright.

"The hotel will be a great compliment to other hotel facilities Downtown," Wright says, adding that it will cater to both business users and the leisure sector. "It is a good alternative for someone who doesn't want to stay in a 500-room hotel," he tells GlobeSt.com, explaining that the majority of hospitality properties currently located in downtown are large, fairly generic hotels aimed at business users.

With a completion date of spring 2005 currently scheduled, the Hotel Solamar is slated to include an outdoor pool, function deck, and a 174-space parking lot. At build-out, the property will be managed by the Kimpton Hotel and Restaurant Group.