Blackstone Mortgage Trust (BXMT) has provided a $145.5 million non-recourse, floating-rate loan to The Generation Companies and partner StepStone Group Real Estate for a portfolio of 23 select service, extended stay hotels.
The Generation Companies will continue to manage the hotels, which consist of 2,652 rooms and according to sources familiar with the deal are branded under the Homewood Suites, Home2 Suites, Candlewood Suites, Staybridge Suites, Mainstay Suites and Suburban Extended Stay names.
JLL managing director Bill Grice and SVP Nick Baer out of that firm’s Hotels & Hospitality Group arranged the financing, according to a statement. The 350-person global team group has completed more transactions than any other hotel and hospitality real estate advisor over the last five years, totaling more than $68 billion worldwide, closing more than 4,400 advisory, valuation and asset management assignments. according to JLL.
BXMT is a public REIT managed by the Blackstone Group, which has over $340 billion in assets under management. In May, the REIT, part of the Blackstone Real Estate Debt Strategies (BREDS) platform, headed by Mike Nash and Jonathan Pollack, provided $160 million in financing to Atlas Capital Group on a one-million-sq-ft office and retail property in Queens, New York.
The previous month Blackstone and Morgan Stanley had provided a $335 million acquisition loan to HNA Capital and MHP Real Estate Services for the acquisition of 850 Third Avenue in midtown Manhattan.