Hotel developer Paddy McKillen has repaid his loans to IBRC and agreed a deal with Colony Capital that will secure his stake in three luxury London properties.
According to the Independent, McKillen paid back about €800 million in total, including both personal and corporate loans.
As part of the deal, he has reportedly agreed to a long-term financial partnership with Tom Barrack’s private international investment firm, Colony Capital, which will refinance loans secured in part by McKillen’s 36.2 percent stake in Coroin – the company that owns and manages Claridge’s, The Connaught (pictured) and The Berkeley hotels in London.
The new financing relationship will assure a comprehensive recapitalization of McKillen’s balance sheet as well as an ongoing funding source for future capital deployment opportunities McKillen possesses and develops.