Redeveloped Hollywood Hotel Lands $117M Bridge Loan
A Los Angeles hotel property that's set to launch this month after undergoing redevelopment has landed a $116.5 million loan for refinancing. The bridge debt was secured by Hoteliers Ian Schrager and Ed Scheetz, according to a report from the Commercial Observer.
Benefit Street Partners and Driftwood Capital provided the refinancing, with Cushman & Wakefield negotiating the debt.
Previously known as The Standard Hotel, both Schrager and Scheetz acquired the site for $112.5 million in 2023 after it shuttered. It's unclear why it closed, but the asset on the Sunset Strip has undergone repositioning to improve suites and guest rooms. Plus, the site has added amenities such as a nightclub and a rooftop deck.
The 137-room asset is now known as Public Hotel West Hollywood. The exact opening date is unclear, but the Commercial Observer said that it will take place this month.
Rob Rubano of C&W said in a statement that the timing of the asset hitting the market is ideal because of the "significant resurgence" the CRE brokerage has been seeing across the Sunset Strip, according to the news outlet.
Gabe Kadosh, vice president at Colliers, recently told GlobeSt. that Greater Los Angeles retail continues to benefit from strong demographics, consumer spending and brand demand, creating attractive opportunities for investors and brands alike. This is particularly the case in parts of Glendale, Sherman Oaks, West LA and Melrose.
Source: GlobeSt/ALM