SAN DIEGO-GlobeSt.com has exclusively learned that Thorofare Capital Inc. has provided an $8.55 million senior bridge loan to refinance the Four Points by Sheraton San Diego, an affiliate property of Starwood Hotels and Resorts franchise. The loan was utilized to pay off an existing mortgage, which was acquired from a regional bank in a loan-portfolio transaction involving Deutsche Bank.
The property is a 225-room, full-service hotel located at the border of the Kearny Mesa and Mission Valley areas of San Diego, proximate to the Interstate 8 Freeway. It has been improved with 10,842 square feet of meeting space, a business center, outdoor swimming pool, fitness center, restaurant, lounge, coffee bar, gift shop and a nine-hole executive golf course.
“This transaction required us to move quickly and pay off the existing note holder, as the borrower was in term default,” says Kevin Miller, co-president of Thorofare. “Conventional banks and CMBS lenders failed to finance the property due to a short term remaining on the ground lease, which was recently extended by the City of San Diego for an additional 40 years. The borrower depended on our flexibility and execution due to the short time constraint presented by this special situation.”
As GlobeSt.com previously reported, the Four Points by Sheraton brand is expanding in the US and in other countries. Starwood Hotels and Resorts Worldwide is expanding the brand into India’s urban centers, adding two new hotels in the next two years, according to Starwood SVP Matthew Fry, who said in January, “We have long-standing relationships with owners and developers across the country.” Also, of the approximately 650 rooms under construction in Long Island City, NY, as of November 2011, some include Four Points by Sheraton, in addition to Fairfield Inn, Holiday Inn, as well as independent boutique properties like Z NYC, the Ravel, the Queensboro Hotel and the Verve.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
Carrie Rossenfeld
Carrie Rossenfeld is a reporter for the San Diego and Orange County markets on GlobeSt.com and a contributor to Real Estate Forum. She was a trade-magazine and newsletter editor in New York City before moving to Southern California to become a freelance writer and editor for magazines, books and websites. Rossenfeld has written extensively on topics including commercial real estate, running a medical practice, intellectual-property licensing and giftware. She has edited books about profiting from real estate and has ghostwritten a book about starting a home-based business.
