Mesa West has provided a $85.6 million loan to Laurus for the acquisition of Vail Cascade Resort & Spa in Vail, Colorado.
The five-year, floating rate, interest-only loan, arranged by Marc Sallette with CBRE Hotels’ Debt & Structured Finance team, backs a 292-room ski resort situated on nearly 9.5 acres in Cascade Village.
Laurus plans to renovate and reposition the property. CBRE Hotels also arranged the sale of the resort for an undisclosed amount on behalf of the seller, Lowe Enterprises Investors, who acted on behalf of an investment client.
CBRE noted in a statement that there are “extensive barriers-to-entry within the Vail market” and that significant upside exists for the new owner through rebranding and renovation; it’s an “excellent long-term investment opportunity for the buyer.”
In addition to its guestrooms, the resort at 1300 Westhaven Drive also features over 45,000 sq ft of flexible event space, the 78,000-square-foot Aria Athletic Club and Spa, Atwater on Gore Creek Restaurant, Fireside Bar, Cascade Village Market and Café, business center and retail outlets.
Lowe Enterprises Investors acquired the property on behalf of its client in 1992 and completed significant repositioning and redevelopment projects during its ownership. The property will continue to be operated by Lowe’s hospitality management affiliate, Destination Hotels.
Mesa West recently originated a $210 million loan to refinance Chicago’s John Hancock Center. The five-year, non-recourse loan, which includes $35 million of mezzanine debt, will be used to refinance current debt and for ongoing leasing and capital costs.