Palmer House Hotel
With over 1,500 rooms at 24 stories, the Palmer House Hotel in Chicago was refinanced for $365 million. Though the loan is quite massive, the luxury hotel market in Chicago is seeing impressive growth and, as such, the lenders did see much risk in releasing that much money to Jones Lang Lasalle Hotels.
Chicago’s iconic, historic (dates to 1925) Palmer House Hilton luxury hotel has been refinanced by owner Thor Equities to the tune of $365 million, it was announced last week by Jones Lang LaSalle, which arranged the floating-rate financing package.
JP Morgan took the lead, JLL executive vice president Matt Comfort told Commercial Property Executive, and subordinate tranches were passed to four mezzanine lenders. “A component of this will be securitized, most likely,” he added.
Comfort and JLL senior vice president Keith Largay led the team on this transaction, along with managing director Dave Hendrickson and vice president John Nugent.