Meridian Capital Group, America’s most active dealmaker, arranged $8.5 million in construction financing for the ground-up development of a Days Inn hotel in Brooklyn, NY, on behalf of a prolific hotel developer.
The 24-month construction loan, provided by a savings bank, features a floating rate in the mid-five percent range and full-term interest-only payments. This transaction was negotiated by Meridian Vice President, Eli Finkel, and Vice President, Eli Serebrowski, who are both based in the company’s New York City headquarters.
The Days Inn hotel is planned to be five stories and will contain a total of 91 keys. The property is located on Eastern Parkway, a historic promenade with a pedestrian mall on either side that was designed by the renowned urban planners behind both nearby Prospect Park and Manhattan’s Central Park. Its location in Crown Heights is close to some of the best attractions that Brooklyn has to offer, including Prospect Park, the Brooklyn Botanic Gardens, and the Brooklyn Museum, which is New York City’s second largest museum in physical size and houses an art collection of roughly 1.5 million works. Crown Heights also has a rich architectural landscape, with historic row houses lining the streets. The neighborhood is also home to fun and interesting restaurants on nearby Franklin Avenue.
“Our team is proud to have again arranged construction financing from a bank in capital markets environment where lenders are scaling back on ground-up construction, especially for hotel developments,” said Mr. Serebrowski. “Meridian recently closed several similar transactions for this developer throughout Manhattan, the Bronx, and Brooklyn. Having hands-on experience and strong lender relationships allowed us to quickly identify the appropriate bank and negotiate favorable terms that will benefit the project.”
Founded in 1991, Meridian Capital Group, LLC is one of the nation's largest commercial real estate finance and advisory firms. Meridian is headquartered in New York with offices in New Jersey, Maryland, Illinois, Florida and California. Working with a broad array of capital providers, Meridian arranges financing for transactions ranging from $1 million to more than $500 million for multifamily, co-op, office, retail, hotel, mixed-use, industrial, healthcare, student housing, self-storage and construction properties. www.meridiancapital.com