Driftwood Capital increases its mezzanine loan to $35 million for Sheraton Dallas Hotel’s $300M refinancing.
DALLAS — This article was originally published by our content partners at the Dallas Business Journal. You can read the original article here.
The largest hotel in Dallas and the state has secured a significant chunk of change it needs for a more than $300 million refinancing.
Driftwood Capital, through its lending fund Driftwood Lending Partners LP, provided $35 million in mezzanine financing for the refinancing of the 1,841-key Sheraton Dallas Hotel, according to multiple hospitality and commercial real estate industry publications.
The Florida-based lender cited the property’s prime location and rebounding business travel in increasing its stake in the refinancing of the huge hotel, signaling confidence in the North Texas hospitality market.
The wider debt deal also includes the full replacement of a 2024 $270 million commercial mortgage-backed securities loan with a new $300 million senior loan originated by Goldman Sachs and JPMorgan Chase Bank, according to reports from hospitality publications Hotel Management and Hotel Business. As part of the refinancing, Driftwood Lending boosted its original $30 million mezzanine loan to $35 million. The two-year loan includes three one-year extension options.
To read more on the Sheraton Dallas’ refinancing deal, head over to the Dallas Business Journal.