MK Capital Markets Secures Financing for The Navnish Group's Acquisition of Reno-Sparks Holiday Inn Conversion
The loan was provided by Ascent Real Estate Advisors, a private equity lending fund based in New York which specializes in the hotel industry. Navnish has retained Crescent Hotels & Resorts to manage the hotel which is undergoing a $6 million renovation and conversion to a Holiday Inn.
'Navnish is a highly adept, accomplished and energetic hotel company in an active acquisition mode,' commented Ed Blum, Managing Director of MK's Capital Markets Group who facilitated the financing for Navnish. 'It was a pleasure to assist them in sourcing a loan which provided attractive terms and rates, thus improving the projected return on their investments.'
Dean Benjamin, a Principal with Ascent Real Estate Advisors, confirmed that the Navnish acquisition was an excellent fit for his company's target loan type which is $20 million and smaller with significant opportunity.
'Ascent is a strong lender for entrepreneurs who require flexibility. We hold the loans that we make on our own balance sheet. As a result, we are extremely focused on the viability of each project we underwrite,' commented Mr. Benjamin.
'It is our experience that when Ed calls us about a project and says it is interesting he is worth listening to. Navnish was exactly as portrayed: A young, aggressive company with a strong entrepreneurial spirit. The Principals of Navnish are very detail focused and portrayed great confidence that they would execute their plans,' concluded Mr. Benjamin.
Navnish is actively pursuing hotel properties with upside potential in the Western U.S. as well as the Southeastern U.S. The Sparks, Nevada, Quality Inn is Navnish's fourth acquisition in the Mountain West in the last year.
“We are pleased to expand our portfolio with a presence in the growing Reno-Sparks market,” said Vamsi Bonthala, Navnish Group Principal. “We look forward to completing the renovation and serving our guests with a high quality product.'
The area around the Quality Inn is growing rapidly with more than $1 billion in development currently underway including the Legends at Sparks Marina development (which will include more than 800,000 square feet of shopping and entertainment as well as a 1,000-room hotel casino and spa) and the Grand Sierra Resort redevelopment (which is slated to include a large waterpark).
Headed by individuals with more than 50 years combined experience in real estate and hospitality, Navnish is a real estate investment and development firm that focuses on the strategic acquisition, repositioning and development of full- and select-service hotels. Recently Navnish successfully acquired the Hilton Hotel, Sunrise/Fort Lauderdale, Florida, from Leisure Colony Management LLC in a transaction structured by MK's hotel real estate brokerage group.
During the last 12 months MK has structured more than $4.2 billion in hotel real estate transactions and funding worldwide, including such significant transactions as financing for Amanresort's Le Mélézin luxury ski resort in Courchevel 1850, in the French Alps, and the sale of the Westin Kierland Scottsdale, Arizona. For further information about this transaction and MK's capital markets expertise, please contact Ed Blum of MK's Capital Markets Group at 703.760.9600 or via www.mkhotels.com.
ABOUT MOLINARO KOGER AND MK CAPITAL MARKETS GROUP
Molinaro Koger (MK) is the world's leading hotel-exclusive real estate brokerage, advisory and capital markets firm. The company structures transactions of boutique through luxury market segment assets throughout the world. MK is headquartered in metro-Washington, DC, and has offices in London, Atlanta, Beijing, Chicago, Cincinnati, Dallas, Los Angeles, New York, Mumbai, Phoenix, San Francisco and Shanghai.
Molinaro Koger's Capital Markets Group arranges hotel-specific financing, including debt, equity, and mezzanine sources, for MK's client base, both domestically and internationally. Ed Blum, Managing Director, Capital Markets, is skilled in corporate hotel finance, investment analysis, mergers and acquisitions, venture capital, capital raising, lender and investor relations, and corporate workouts both domestically and internationally. During the past decade, Mr. Blum's expertise and contacts have facilitated his completion of more than $3 billion in hotel financing and transactions in the United Kingdom, France, Italy, Spain, Czech Republic and the United States.
Founded in 1959, Molinaro Koger successfully markets hotel real estate, sponsors limited partnerships, and arranges financing for clients. Given the cyclical nature of real estate, the firm has weathered an array of highs and lows during the course of its 47-year history. Through this time, the company has grown and assisted clients in achieving their investment goals.
'With each lodging real estate cycle we gather strength, expertise and contacts enabling us to better serve the best interests of our clients, regardless of economic cycles,' says President Robert Koger. 'The results we achieve are directly attributable to the commitment and expertise of our professional staff.'
Molinaro Koger can be accessed online at www.mkhotels.com.
ABOUT THE NAVNISH GROUP
Navnish develops and operates full-service and select-service hotels throughout the United States and is devoted to providing its hotel guests with the best possible experience while creating value and superior investment returns through its strategic focus on investing, hands-on approach to management and its principals' unique combination of skills and backgrounds. The principals of Navnish have approximately 50 years of combined experience in owning, developing and operating commercial properties (including retail, multi-family and office, in addition to lodging) throughout the United States. Navnish currently owns and operates six hotels comprising of 811 hotel rooms. Additional information concerning the Navnish Group may be found at www.navnish.com and the company may be reached at 212.274.8535.
ABOUT ASCENT REAL ESTATE ADVISORS
Dean Benjamin, together with his co-founding partner John Porges, formed Ascent Real Estate Advisors to deliver investment management and advisory services in real estate. Ascent is an entrepreneurial investment, development and consulting firm which combines extensive real estate development, finance and capital market expertise with a track record of successful transactional experience. Ascent's focus is on special real estate related investment opportunities, paying particular attention to areas of mezzanine lending, preferred equity investing and the acquisition of distressed and sub-performing assets. Capabilities include real estate development, asset repositioning, principal investing, merchant banking and consulting services. An 18-year veteran of the real estate industry, Mr. Benjamin was a member of the Principal Transactions and Realty Investment Groups at Credit Suisse prior to forming Ascent. While there Mr. Benjamin was responsible for the origination, structuring and launching of many Commercial Mortgaged Back Securities transactions, as well as the consummation of various other asset securitization transactions.
Categories: Development