Qatari investment company secures $503M in loans for 3 hotels

Photo credit: Manhattan at Times Square Hotel.

Qatar-based Al Rayyan Tourism Investment Company has refinanced its debt on three U.S. hotels to the tune of $503 million. 

Holliday Fenoglio Fowler, a provider of capital markets and brokerage services, worked on behalf of the borrower to place three floating-rate loans for hotel projects with Mack Real Estate Credit Strategies: a $290-million loan for The Manhattan at Times Square Hotel, a $132-million loan for the St. Regis Bal Harbour Resort and an $81-million loan for the St. Regis Washington, D.C. Each loan carries a four-year term with a one-year extension. 

“Our strategy is focused on increasing the value of our hotel portfolio by improving operational efficiency and quality of service while enhancing and developing the properties we acquire to optimize and build new revenue streams,” said Tarek M. El Sayed, managing director and CEO of the Al Rayyan Tourism Investment Company (ARTIC), in a statement. “The refinancing announced today reflects the quality of our asset base and further reduces our financing costs as we execute on that strategy.”

FREE DAILY NEWSLETTER

Like this story? Subscribe to IHIF!

The hospitality industry turns to IHIF International Hotel Investment News as the must-read source for investment and development coverage worldwide. Sign up today to get inside the deal with the latest transactions, openings, financing, and more delivered to your inbox and read on the go.

The company, El Sayed added, is seeking more investment opportunities across the U.S. Among other plans, the investment company is finalizing plans for a mixed-use tower to take the place of the current Manhattan at Times Square Hotel. Once redeveloped, the nearly 1,500-foot-tall building will include 250 hotel rooms and 150 condominium residences. ARTIC will continue to operate the hotel on an as-is basis while the plans are in development. 

Suggested Articles

Co-living brand The Collective has agreed a new £140m financing package from Deutsche Bank and GCP Asset Backed Income Fund.

Accor said that it could see room to grow in Europe, commenting that it would “never be number one” in North America and China.

Radisson Hotel Group has signed the Radisson Riyadh Airport in the Kingdom of Saudi Arabia.