Sonnenblick-Eichner Company arranged $38 million of first mortgage leasehold financing for the Marina del Rey Hotel, a 164-room, full-service, luxury boutique hotel located on the water in Marina del Rey, Calif. The hotel underwent a $28-million renovation and reopened in January 2015.
The three-story property has 6,291 square feet of meeting space, the Salt Restaurant & Bar, an infinity pool that is heated year-round, a spa, a marina view sundeck, business center and a 24-hour fitness center.
"We were successful in arranging a 10-year fixed rate loan, sized to a 10 percent debt yield with the hotel being fully operational for less than 12 months," said Elliot Eichner, a principal of Sonnenblick-Eichner Company "The loan provided for interest-only payments for the entire term."
"Though the property had limited operating history, the loan was fully funded at closing and did not require an earn-out provision," said Patrick Brown, also a principal of Sonnenblick-Eichner Company.
Sonnenblick-Eichner Company is a Beverly Hills-based real estate investment banking firm that specializes in arranging structured finance for acquisition, construction and permanent loans, interim and mezzanine financing as well as joint-venture equity transactions.