A joint venture led by Gencom, in partnership with GD Holdings, has secured a $125 million refinancing for the 192-key St. Regis Chicago, a luxury hotel located in Chicago’s Lakeshore East Loop neighborhood at the confluence of the Chicago River and Lake Michigan.
The joint venture acquired The St. Regis Chicago in May 2023, marking the first St. Regis-branded investment for both Gencom and GD Holdings and the partnership’s entry into the Chicago market.
“The refinancing secured with Banco Inbursa reflects the strong operational performance and market positioning the St. Regis Chicago has achieved since our acquisition three years ago,” Karim Alibhai, founder and principal of Gencom, said in a statement. “As the first luxury hotel to open in downtown in over a decade, the property has resonated with both business and leisure travelers, as well as the local community, reinforcing our conviction in the Chicago market’s long-term fundamentals.”
The transaction marks the fourth financing Gencom has completed with Banco Inbursa.
“This successful refinancing of the St. Regis Chicago underscores our ability to drive value through operational execution and strategic asset management, while reinforcing our confidence in the hotel’s continued performance,” said Alessandro Colantonio, chief investment officer at Gencom. “It also represents an important expansion of our partnership with Banco Inbursa as we continue to access global capital sources across both asset acquisitions and refinancings.”
“We believe The St. Regis Chicago is one of the most compelling luxury hospitality assets in the country. This refinancing positions us to continue executing at a high level while unlocking the full potential of the property over the long term,” said Abraham Marcos, principal of GD Holdings.
Gencom and GD Holdings were represented in the transaction by Stearns Weaver Miller as its legal counsel, while Banco Inbursa was advised by Gibson Dunn.
The five-star hotel occupies the first 11 floors of a three-tower, mixed-use development integrating a luxury hotel with branded residences. The tallest tower rises 101 stories, making it the third-tallest building in Chicago.