JLL Capital Markets represented the borrower in refinancing
of the one-of-a-kind landmark hotel asset in Austin, Texas
SAN
DIEGO, July 8, 2024 /PRNewswire/ --
JLL's Capital Markets group announced today that it arranged a
$430 million refinancing for
Fairmont Austin, a 37-story luxury
hotel in downtown Austin.
JLL Capital Markets represented Manchester Financial Group in
securing the five-year, interest only fixed-rate SASB CMBS loan,
with Goldman Sachs acting as a lead manager and sole bookrunner.
The all-mortgage financing package was used to replace a $300MM
senior loan and $125MM of mezzanine debt.
Fairmont Austin spans 1.4 million
square feet, standing proudly as the city's fifth-tallest building.
Developed by Manchester Financial Group, the luxury hotel first
opened in 2018 and features 1,048 guestrooms and suites, nearly
140,000 square feet of meeting space, a full-service spa, five
curated food and beverage outlets, an outdoor resort-style pool
deck on the 7th floor and a grand pedestrian walkway providing
direct access to the Austin Convention Center. Located at 101 Red
River St., the property is within walking distance to the city's
premier lifestyle and entertainment areas including Rainey Street, East
Austin and two blocks from Lady Bird
Lake.
"This significant financing, facilitated by JLL and Goldman
Sachs, underscores our commitment to delivering exceptional
hospitality experiences through our 100% ownership of the hotel.
The funds will support the continued growth and enhancement of this
premier property, ensuring it remains a top destination for
visitors to Austin," said Papa Doug Manchester.
The JLL Capital Markets Debt Advisory team was led by Senior
Managing Director Tim Wright, Senior
Managing Director Aldon Cole and
Director Olga Walsh.
"With an influx of recently completed and ongoing construction
projects in the immediate area, Fairmont
Austin is well-positioned to benefit from the momentum in
all directions and capitalize on its position as the epicenter of
Austin's explosive growth," said Wright.
"Despite today's challenging debt environment, capital markets
responded well to the opportunity to finance this prime asset for a
strong sponsorship group. This led to a competitive marketing
process and, in the end, beneficial and highly tailored terms for
our client," added Walsh.
JLL Capital Markets is a full-service global provider of capital
solutions for real estate investors and occupiers. The firm's
in-depth local market and global investor knowledge delivers the
best-in-class solutions for clients — whether investment sales and
advisory, debt advisory, equity advisory or a recapitalization. The
firm has more than 3,000 Capital Markets specialists worldwide with
offices in nearly 50 countries.
For more news, videos and research resources, please visit
JLL's newsroom.
About Manchester Financial Group
Founded in 1970 by
Papa Doug Manchester, Manchester Financial Group is headquartered
in San Diego, California, and
specializes in hotel and commercial real estate development. Over
the past few decades, Manchester Financial Group has developed more
than $5 Billion in assets worldwide
and continues to be one of San
Diego's largest and most profitable private companies. For
additional information on Manchester Financial Group, please
visit http://manchesterfinancialgroup.com.
About JLL
For over 200 years, JLL (NYSE: JLL), a
leading global commercial real estate and investment management
company, has helped clients buy, build, occupy, manage and invest
in a variety of commercial, industrial, hotel, residential and
retail properties. A Fortune 500® company with annual revenue of
$20.8 billion and operations in over
80 countries around the world, our more than 108,000 employees
bring the power of a global platform combined with local expertise.
Driven by our purpose to shape the future of real estate for a
better world, we help our clients, people and communities SEE A
BRIGHTER WAYSM. JLL is the brand name, and a registered trademark,
of Jones Lang LaSalle Incorporated. For further information, visit
jll.com.
Contact: Grace Lewis, JLL PR
Phone: +1 903 520 3478
Email: grace.lewis@jll.com
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SOURCE JLL