Driftwood Capital, a vertically integrated commercial real estate firm and hospitality sponsor, has delivered a preferred equity investment for the development of a new 18-story, 300-room dual-branded Hilton hotel in Nashville’s East Bank district.
The new Tempo and Homewood Suites by Hilton will rise on a gateway site near Oracle’s future headquarters and the new Nissan Stadium. Driftwood’s involvement includes not only preferred equity financing, but also full-scale development oversight through Driftwood Development Services. Upon completion, long-term operations management will be overseen by Driftwood Hospitality Management.
The hotel is being developed by 100 Spring Street Hotel, a joint venture between Nashville-based Skyline Hospitality and Patrick Culligan, along with Tampa-based Sonari Capital Partners Inc.
“The Nashville hospitality market continues to demonstrate impressive growth and resilience, particularly in the future East Bank district, which is poised to become a vibrant epicenter anchored by Oracle’s forthcoming headquarters,” Pranav R. Bhakta, SVP, corporate business development, Driftwood Capital. “Driftwood Capital is uniquely positioned through our vertically integrated model to support high-impact projects like the dual-branded Tempo and Homewood Suites hotel at 100 Spring Street. Our in-house capabilities allow us to deliver comprehensive third-party development services, hotel management expertise via Driftwood Hospitality Management and structurally flexible financing solutions such as preferred equity, providing creative, turnkey solutions that distinguish us from traditional hospitality investment managers.”
The project will include approximately 10,000 sq. ft. of meeting space, food and beverage options and a rooftop component overlooking Downtown Nashville.
“We are excited to partner with Driftwood Capital across investment, development and management to bring the Tempo and Homewood Suites by Hilton dual-brand hotel to life in the heart of Nashville’s East Bank,” said Jaimin Patel, managing principal, Sonari Capital Partners. “We are confident this project will deliver a high-quality hospitality experience that aligns with the dynamic growth of the surrounding district, including Oracle’s headquarters and the new Nissan Stadium.”
The new property is situated in close proximity to key destinations and transit routes. The Tennessee State Capitol and Nissan Stadium are approximately five minutes from the property, with Oracle’s $1.35 billion campus planned nearby. The hotel is adjacent to Interstate 24, offering immediate access to local attractions and institutions, including Music City Center, Bridgestone Arena and the Broadway Entertainment District, all within close proximity to the hotel.
