Walker & Dunlop has arranged $55 million to refinance the Doubletree Denver, a 561-key two-tower hotel located in the Central Park submarket.
The W&D New York Capital Markets team led by Adam Schwartz, Aaron Appel, Jonathan Schwartz, Keith Kurland, Michael Diaz, Triston Stegall, and Christopher de Raet arranged the loan on behalf of clients Taconic Capital Advisors LP, Pyramid Global Hospitality and Triangle Capital Group, and identified the lender as Hudson Bay Capital.
This refinance will be used to pay off the remaining loan balance and repatriate equity to the sponsor. The floating rate non-recourse loan carries an initial two-year term with a 12-month extension option. The W&D team also arranged the initial $60 million acquisition financing in February 2022 when the sponsor acquired the Doubletree Denver along with the Doubletree Denver Central Park in the same submarket. The sponsor subsequently sold the Central Park hotel in late 2023 and used proceeds to reduce leverage of the Doubletree Denver.
The Doubletree Denver benefits from being the primary host for the United Airlines Training Facility, generating substantial revenue from contracted rooms and related business. United's significant investment in expanding the facility underscores its commitment to growth, with additions including new buildings, simulators and hiring hundreds of employees.