CIM Group issues $167m loan to recapitalise WoodSpring Suites portfolio

CIM Group has finalised a indebtedness of $167.67m to affiliates of Concord Hospitality and Whitman Peterson, done the former's CIM Real Estate Debt Solutions concern and connected behalf of a managed fund.

The financing aims to recapitalise a portfolio comprising 15 WoodSpring Suites extended-stay hotels crossed Florida, North Carolina, Michigan, and Tennessee.

The statement consists of an archetypal backing amounting to $117.67m, with the imaginable for an further $50m designated for earn-out opportunities and imaginable enlargement of the edifice portfolio.

WoodSpring Suites operates arsenic an system extended enactment marque successful the hospitality sector. The edifice provides accommodation with features specified arsenic in-room kitchens, complimentary Wi-Fi, laundry facilities accessible astatine each hours, vending machines, and a fittingness centre.

The transaction follows CIM Group’s strategy to absorption connected the hospitality industry, which includes investments successful select-service and extended enactment hotels.

In 2023, the institution implemented this attack and has since completed akin transactions, including a $75m indebtedness for a select-service edifice spot successful San Diego.

Last twelvemonth alone, funds managed by CIM originated much than $1bn successful commercialized existent property loans.

Seyfarth Shaw acted arsenic ineligible counsel for the lender during the transaction.

Since its founding successful 1994, CIM Group has completed much than $60bn successful existent property and infrastructure projects passim the Americas.

The institution engages successful lending activities done owe and mezzanine loans, and provides span and operation financing solutions for commercialized existent property owners and developers successful large US markets.

In September 2023, CIM Group closed 2 abstracted loans for hotels successful Florida.

The first, a $34.97m elder loan, was provided to a associated task betwixt Monarch Alternative Capital and HHM Hotels and was secured by the dual-branded Aloft/Element edifice successful Orlando, which was completed successful 2021.

The 2nd transaction progressive a $28.9m full indebtedness to Newbond Holdings, secured by the Aloft edifice successful Tampa, a 130-room spot that opened successful 2014.

"CIM Group issues $167m indebtedness to recapitalise WoodSpring Suites portfolio" was primitively created and published by Hotel Management Network, a GlobalData owned brand.

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