Brooklyn Waterfront Hotel Lands $80M in Financing
- Feb 20, 2017
New York—Capital One has provided an $80 million construction/mini-perm loan to a joint venture between the Starwood Capital Group and Toll Brothers, for the soon-to-be-completed 1 Hotel Brooklyn Bridge, a 194-key property on the Brooklyn waterfront.
Capital One previously provided a $160 million loan to finance the project’s initial construction, which also included a 107-unit recently completed condominium building.
“These are top-tier sponsors and the property is in a terrific location—right on the Brooklyn waterfront,” Paul Verdi, senior vice president for Capital One’s commercial real estate group, told Commercial Property Executive. “Although we have seen some softness in the Manhattan Hospitality Sector, the unique upscale brand the 1 Hotel offers visitors, combined with the location and view, gave the bank comfort that a ground-up construction facility was warranted for the product.”
The hotel will feature 20,000 square feet of meeting/event space, a 24-hour fitness center/spa, a rooftop bar and pool and a 12,000-square-foot indoor/outdoor restaurant emphasizing local and organic ingredients.
The property has been built to LEED standards and features reclaimed wood, stone, industrial metals, locally sourced glass, green plants, and cotton, linen, and leather are all utilized throughout the hotels’ public and private spaces.
According to Verdi, the location and product appeal will drive the success of the property.
“The view of lower Manhattan, the Brooklyn Bridge and the Statue of Liberty is spectacular and the offering is unique for the area—an upscale, green full service hotel,” he said. “Brooklyn continues to be an attractive market overall, but particularly along the waterfront in areas like DUMBO and Williamsburg. The neighborhood where 1 Hotel Brooklyn Bridge is located has a lot to offer in terms of visitor appeal as well.”
The 1 Hotel Brooklyn Bridge will be the third property for Starwood’s 1 Hotels brand.