JBG Secures $145M Refi for Arlington Hotels
- Aug 27, 2015
The JBG Cos. has secured another refinancing package for two of its hotels in the Greater Washington region. It is the third hotel refinancing the company has completed in 2015.
Mesa West Capital and AEW Capital Management provided JBG with $145 million in debt to refinance the two properties. Los Angeles-based Mesa West originated the financing at its New York office. It provided the first mortgage for the transaction. The non-recourse, floating-rate, interest-only loan features an initial term of three years, with extension options. Boston-based AEW provided mezzanine debt. The two loans closed simultaneously.
JBG’s two hotels are the 300-room, full-service Renaissance Arlington Capital View and the 325-suite extended-stay Residence Inn Arlington Capital View. Both were developed in 2011 and both are located in Arlington’s Potomac Yards neighborhood. The properties are connected and share such amenities as a SOCCi Italian restaurant, a health club, an indoor pool and more than 20,000 square feet of meeting space.
“Since opening, both hotels have performed extremely well against the competition, which is a testament to the quality of the product,” Mesa West Assistant Vice President Daniel Tanner said in a statement. “The properties performed well despite being delivered into a tough environment, and our loan will allow them to continue to improve their performance as the market strengthens.”
Photo credit: The JBG Cos.