Nashville Commercial Real Estate Wrap-Up – May 2020
- May 29, 2020
With the state economy slowly reopening going into May, Nashville’s commercial real estate market saw some notable activity, especially—and a bit surprisingly—in the hospitality sector. A brand new downtown hotel received $60 million in financing, while a 168-room property scored a $58 million refinancing loan. Additionally, Wells Fargo financed a mixed-use downtown development. Read our May list of Nashville must-knows:
1. FINANCING – Newly built hotel scores $60 million in financing.
Drury Development Co. has obtained financing for Drury Plaza Hotel Nashville Downtown, a 389-key property, which is in proximity to the Country Music Hall of Fame and Museum and Music City Center. Central Bank of St. Louis originated a $50 million loan, while the company took a $10 million self-financed loan.
2. MANAGEMENT – Hospitality Ventures to manage upcoming downtown Hilton.
The Embassy Suites is a 506-key project, located at 708 Demonbreun St. A partnership including Crescent Real Estate, Starwood Capital Group and High Street Real Estate is developing the two-tower property. The hotel is slated for a 2021 opening. When complete, the asset will be the second-largest property under the Embassy Suites brand.
3. FINANCING – Royal Investments lands $58 million for Dream Nashville refi.
The financing retires a $48.9 million construction loan provided by Fifth Third Bank in 2016. The new financing was provided by Barings. Dream Nashville opened in 2019 and has 168 rooms. Located at 210 Fourth Ave. N., the asset is within half a mile of the Country Music Hall of Fame and Museum and the State Capitol.
4. FINANCING – Downtown mixed-use development scores $93 million loan.
According to Nashville Business Journal, Taylor Place is slated for completion is 2022. The site is located at 602 Taylor St. in Germantown, with the project also including the revitalization of the 75-year-old Werthan Building. The project’s architect, Smith Gee Studio, is scheduled to be the development’s first tenant, having signed for 14,000 square feet. SWH Partners, The Mathews Co. and Soundview Real Estate Partners are part of the team spearheading the development. The loan was originated by Wells Fargo Bank.