CBRE secures $170 million in financing for largest single-asset hotel transaction in the U.S. since the onset of COVID-19
CBRE Hotels announced the sale of the Newport Beach Marriott Hotel & Spa in Southern California to Newport Beach, Calif.-based Eagle Four Partners and Lyon Living.
Robert J. Webster, Michael DiPrima and Diana Simpson of CBRE Hotels represented the seller, Host Hotels & Resorts. Mark K. Owens and Bill Grice led the CBRE Hotels Debt & Structured Finance team, which secured $170 million in acquisition and renovation financing for the buyer, who plans to perform a comprehensive renovation of the property.
Host reported the transaction in their third-quarter results.
“Subsequent to quarter end, we sold the 532-key Newport Beach Marriott Hotel & Spa for approximately $216 million after retaining FF&E reserves,” said Host President and Chief Executive Officer James. F. Risoleo during the company’s earnings call. “We are pleased to capitalize on these opportunistic sales at attractive pricing that enhance our liquidity and reduce our near-term capital spending requirements.”
The sale and acquisition financing of the Newport Beach Marriott Hotel & Spa represents both the largest hotel sale and financing to occur nationwide since the onset of COVID-19 in the first quarter of 2020.
CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.