Los Angeles, California—Sonnenblick-Eichner Company has arranged $22.6 million of first mortgage leasehold financing on behalf of Valencia Hotel Group to refinance its Hotel Valencia Riverwalk, a 12-story, 213-room hotel in downtown San Antonio, TX.
The property, part of the Valencia Hotel Collection, includes 9,841 square feet of meeting and event space, a fitness center, an interior open-air courtyard, and al fresco dining overlooking the San Antonio River. Food and beverage offerings include Dorrego’s, Naranja Tequila and Mezcal Bar, and Café Naranja.
“We had tremendous lender interest in this financing opportunity and ultimately closed a five-year fixed-rate loan which was sized to a low debt yield for a hotel encumbered by a ground lease,” said Sonnenblick-Eichner Principal David Sonnenblick.
“The loan refinanced a maturing 10-year loan that we originally placed on the property. The debt markets are extremely liquid for both fixed- and floating-rate hotel loans, as evidenced by the level of interest we experienced on this transaction and other hotel loans that we are marketing,” added Patrick Brown, also a principal of Sonnenblick-Eichner Company.
