NEW YORK CITY Jones Lang LaSalle Hotels announces the closing of a US$92.5 million senior loan for Hilton Times Square, a 460-key trophy asset New York City. The 10-year fixed rate loan, which carries an interest rate below 5%, was secured through Bank of America Merrill Lynch and was used to refinance the existing loan that was set to mature in December.
The proceeds from the new loan will be used to repay the existing debt with a balance of US$81 million and an interest rate of 5.95%.
Leading the Jones Lang LaSalle team on this transaction were Mathew Comfort, real estate investment banking senior vice president, and Executive Vice President Jeffrey Davis.
“It’s a true indication that lenders are actively seeking to place debt on high-quality, well-located hotels,” Davis says. “The Hilton Times Square is a trophy hotel asset located in the heart of Times Square within the top lodging market in the country with solid sponsorship in Sunstone Hotel Investors. As such, it garnered a great deal of attention from potential lenders.”
The hotel is managed by Interstate Hotels & Resorts.