Sonnenblick-Eichner Company has arranged $110 million in first mortgage debt for Independence Menlo Hotel Owner LLC to refinance Hotel Nia, Autograph Collection, in Menlo Park, CA. The non-recourse, floating-rate, interim five-year loan was funded by a private real estate credit investment manager.
Hotel NIA is an 11-story, 250-room, full-service luxury hotel branded as an Autograph Collection by Marriott. Located within the Menlo Gateway master-plan development, the hotel is less than a mile from Meta Platforms corporate headquarters.
Completed in 2018, the hotel offers approximately 10,046 sq. ft. of indoor meeting and banquet space and 5,299 sq. ft. of prefunction and outdoor event space. The hotel features the Porta Blu Restaurant & Bar, Verve Cafe, business and fitness centers, a market pantry and an outdoor swimming pool and Jacuzzi.
“There continues to be a tremendous amount of capital in the market today for quality hospitality product,” said David Sonnenblick, principal, Sonnenblick-Eichner. “Due to Hotel NIA’s excellent location, the recovery of the Bay area market and strong institutional sponsorship, we were able to generate a significant amount of interest in this financing. The loan priced at a credit spread of less than 400 bps over SOFR.”
Patrick Brown, principal, Sonnenblick-Eichner Company, added, “Over the last 12 months, we have arranged approximately $500 million of fixed and floating rate hospitality financing, confirming that there is liquidity and demand for hospitality loans in today’s market.”
