North Bridge recently closed a $50 million C-PACE refinancing deal for the Residence Inn Berkeley, a 331-key full-service hotel. This transaction marks the largest C-PACE financing in 2023 for the hospitality industry and is currently ranked as the fourth largest C-PACE hotel financing to date.
The LEED Gold certified property was developed in 2021 by Pyramid Global Hospitality’s founders. Lantern Real Estate Advisors arranged the financing, with Prime Finance providing a mezzanine loan alongside a senior loan from a debt fund.
In light of current lending conditions, utilizing C-PACE offers borrowers an advantageous fixed-rate financial solution that helps reduce their interest burden and complete their capital stack. This successful transaction serves as an example of how retroactive use of C-PACE can benefit borrowers seeking refinancing options.
Situated just one block away from University of California Berkeley campus, Residence Inn Berkeley is reportedly known as Berkeley’s first new ground-up hotel project in over four decades.
