DALLAS, Texas—Driftwood Capital introduced that, by its lending fund Driftwood Lending Companions, LP, it has supplied $35 million in mezzanine financing for the refinancing of the Sheraton Dallas resort, Texas’s largest resort with 1,841 keys and greater than 230,000 sq. toes of assembly house. The mezzanine mortgage is a part of a broader refinancing by the borrower, a three way partnership sponsored by Chartres Lodging Group.
The transaction consists of the complete substitute of a 2024 $270 million CMBS mortgage with a brand new $300 million senior mortgage originated by Goldman Sachs and JPMorgan Chase Financial institution. In tandem, DLP upsized its unique $30 million mezzanine mortgage to $35 million. The 2-year mortgage consists of three one-year extension choices.
“This refinancing strengthens the borrower’s capital construction as group and enterprise journey gas demand in metro Dallas,” mentioned Scott Melby, vp of capital markets at Driftwood Capital. “The resort’s advantageous location, coupled with sustained business journey and a recovering conference phase, positions the Sheraton Dallas for robust operational efficiency and long-term worth creation.”
The Sheraton Dallas resort consists of greater than 230,000 sq. toes of assembly and pre-function house, 5 onsite eating places, 113 assembly rooms, and 1,100 parking areas with a collection of full-service facilities.
Located within the Metropolis Middle District of Dallas, the resort is positioned close to a number of transit hubs, offering direct entry to the resort. Dallas Love Discipline is roughly quarter-hour away, with DFW Worldwide Airport a few 30 drive from the property. Dallas Space Fast Transit’s Pearl/Arts District Station can be positioned throughout the property.
Driftwood Capital’s funding methods embrace hospitality acquisition, improvement, and lending. Most just lately, the agency introduced its profitable consolidation of 18 hospitality belongings recapitalized at $1.2 billion.
