Construction Financing for a 64 Key Luxury Hyatt Branded Hotel in Los Angeles, CA
Paradigm Capital, a nation-wide, private commercial real estate bridge lending firm, is pleased to announce that it has funded an $11,600,000.00 1st mortgage, for the construction of a 64 key, full service, Hyatt branded, luxury hotel in West Hollywood, Los Angeles, CA. Paradigm’s loan will be used to fund the vertical improvements and interior fit out of the Site. A portion of the construction funds will be provided through a program called Property Assessed Clean Energy (PACE) financing. PACE is a means of financing energy efficiency upgrades or renewable energy installations for residential, commercial and industrial property owners. PACE bonds are state driven and are paid back with the real estate tax payments. Our Borrower is a proven hotel developer and operator in the Southwestern United States.
According to the President of Paradigm Credit Corporation, David Kushner, “Our Borrower has demonstrated that they are proven developers and operators of hotels in this market. So while construction financing isn’t always Paradigm’s primary type of financing, we felt comfortable with our Borrower’s track record and the financial commitment they have demonstrated from the inception of this project. Both through cash contributed into the deal and creatively filling out the capital stack through the use of the P.A.C.E financing program. Paradigm’s loan represents 50.4% of the total cost to complete the hotel.”