NAPA, CA—With limited sites entitled for hotel development remaining in the region, two hotels are poised to absorb demand from Wine Country visitors. HALL Structured Finance has closed new first lien loans totaling $42 million to finance the construction of two Cambria Suites–one in Sonoma County and one in Napa Valley. Construction is expected to begin next month.
“The strength of tourism in the Napa Valley and Sonoma wine industries will be a major demand generator for these hotels,” said Mike Jaynes, president of HALL Structured Finance. “There are very few sites left in the region that are entitled for hotel development, and we are confident that these Cambria products will be very successful in the area's current hotel market.”
HALL arranged a $19.8 million first lien construction loan to develop the Cambria Suites in Napa, a 90-room hotel located at 320 Soscol Ave., just 1.5 miles south of downtown Napa. Projected to open in 2019, the four-story hotel will feature a restaurant, outdoor pool, fitness center, guest laundry facilities, business center, sundry shop and approximately 2,012 square feet of meeting space.
For the Cambria Sonoma, HALL is providing a $22.1 million first lien construction loan for the development, which will feature 135 keys and is located at 5870 Labath Ave. in Rohnert Park. This location is adjacent to several wineries and within a few miles from Sonoma State University and the Graton Resort & Casino. The Sonoma Cambria Hotel will have the same build, aesthetics and amenities as the Napa Cambria and is also projected to open in 2019.
Scott Silver, chairman of Hospitality Funding Inc. and Silver & Associates LLC, brokered the loans. The project developers are Newport Beach, CA–based David and Andrew Wood of Stratus Development Partners LLC.
“Securing construction financing in today's regulated banking climate can be difficult to say the least. HALL Structured Finance worked with us diligently every step of the way to find a capital solution that worked for our unique needs, and they went above and beyond to secure both loans so that our team could begin construction,” said David Wood.
Cambria Hotels & Suites entered the market as an all-suite new construction hotel design in 2007. Today, there are currently 30 Cambria properties open around the country with more than 60 more under development or deals executed in the United States and Canada.
“In light of today's shrinking construction lending environment, we are seeing a growth in volume of loan opportunities, particularly in the hotel industry,” Jaynes tells GlobeSt.com. “We plan to continue to adapt to the needs of developers like Andrew and David Wood to help get well-conceived projects off the ground in this uncertain market.”
HALL Structured Finance is an entrepreneurial value-add direct private lender specializing in capital for ground up construction, adaptive reuse, and major asset repositioning and renovations. It is a resource to projects that may be underserved by the institutional capital markets.
NAPA, CA—With limited sites entitled for hotel development remaining in the region, two hotels are poised to absorb demand from Wine Country visitors. HALL Structured Finance has closed new first lien loans totaling $42 million to finance the construction of two Cambria Suites–one in Sonoma County and one in Napa Valley. Construction is expected to begin next month.
“The strength of tourism in the Napa Valley and Sonoma wine industries will be a major demand generator for these hotels,” said Mike Jaynes, president of HALL Structured Finance. “There are very few sites left in the region that are entitled for hotel development, and we are confident that these Cambria products will be very successful in the area's current hotel market.”
HALL arranged a $19.8 million first lien construction loan to develop the Cambria Suites in Napa, a 90-room hotel located at 320 Soscol Ave., just 1.5 miles south of downtown Napa. Projected to open in 2019, the four-story hotel will feature a restaurant, outdoor pool, fitness center, guest laundry facilities, business center, sundry shop and approximately 2,012 square feet of meeting space.
For the Cambria Sonoma, HALL is providing a $22.1 million first lien construction loan for the development, which will feature 135 keys and is located at 5870 Labath Ave. in Rohnert Park. This location is adjacent to several wineries and within a few miles from Sonoma State University and the Graton Resort & Casino. The Sonoma Cambria Hotel will have the same build, aesthetics and amenities as the Napa Cambria and is also projected to open in 2019.
Scott Silver, chairman of Hospitality Funding Inc. and Silver & Associates LLC, brokered the loans. The project developers are Newport Beach, CA–based David and Andrew Wood of Stratus Development Partners LLC.
“Securing construction financing in today's regulated banking climate can be difficult to say the least. HALL Structured Finance worked with us diligently every step of the way to find a capital solution that worked for our unique needs, and they went above and beyond to secure both loans so that our team could begin construction,” said David Wood.
Cambria Hotels & Suites entered the market as an all-suite new construction hotel design in 2007. Today, there are currently 30 Cambria properties open around the country with more than 60 more under development or deals executed in the United States and Canada.
“In light of today's shrinking construction lending environment, we are seeing a growth in volume of loan opportunities, particularly in the hotel industry,” Jaynes tells GlobeSt.com. “We plan to continue to adapt to the needs of developers like Andrew and David Wood to help get well-conceived projects off the ground in this uncertain market.”
HALL Structured Finance is an entrepreneurial value-add direct private lender specializing in capital for ground up construction, adaptive reuse, and major asset repositioning and renovations. It is a resource to projects that may be underserved by the institutional capital markets.
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Lisa Brown
Lisa Brown is an editor for the south and west regions of GlobeSt.com. She has 25-plus years of real estate experience, with a regional PR role at Grubb & Ellis and a national communications position at MMI. Brown also spent 10 years as executive director at NAIOP San Francisco Bay Area chapter, where she led the organization to achieving its first national award honors and recognition on Capitol Hill. She has written extensively on commercial real estate topics and edited numerous pieces on the subject.
