Silverstein Capital Partners (SCP) – Silverstein Properties’ real estate lending platform – closed on a $65 million loan recapitalization for The Loren Hotels and Residences in Austin. SCP previously provided a $98 million construction loan in December 2020 to develop the project. SCP is retaining a mezzanine loan in the recapitalization and sold a senior mortgage to Apollo. Mark Owen’s team at CBRE represented SCP in placing the senior loan.
“We are happy to continue to support this best-in-class project in Austin, Texas,” said Michael May, President of SCP. “The condominium sales far exceeded our expectations, and we believe that Loren Hotel at Lady Bird Lake is the best hotel in Austin. We have tremendous faith in the sponsorship, and it made perfect sense to us to recapitalize the construction loan.”
Opened in October, The Loren at Lady Bird is the second Loren hotel and the first in the U.S. Featuring 108 guest rooms and suites, all with lake and city views, the project includes 7,600 square feet of retail and 26 condo units that have all been sold.
“We are thrilled to introduce the lively city of Austin to The Loren brand with the opening of The Loren at Lady Bird Lake,” said Stephen King, CEO and Founder of The Loren Hotels. “We know both domestic and international travelers seek elevated hotel stays in locations that organically deliver stellar viewpoints paired with attentive services, amenities, and thoughtful design.”
Located near downtown Austin, The Loren at Lady Bird Lake joins the brand’s flagship property, The Loren at Pink Beach in Bermuda, which opened in 2017. The property features a destination restaurant Nido, milk + honey spa, 24-7 access fitness center, rooftop terrace with infinity pool and event space with 180-degree views.
SCP focuses on providing a variety of loan types including construction, bridge, whole loans, and mezzanine loans on all major product types in urban markets in North America. Since its inception in 2018, SCP has committed $3.2 billion concentrated in construction and condo inventory loans. In early 2022, SCP closed on its $2.0 billion third fund and has raised a total of $4.6 billion.
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