Shiva Hotels has secured £230m financing from Cale Street Investments Crosstree Real Estate Partners to build a 199-bedroom hotel in Marylebone, London.
The financing package is one of the largest development facilities for a central London hotel agreed in recent years.
Cale Street is providing £160m and Crosstree £70m of the initial four-year facility, which has an option to extend and refinances an £80m loan that was in place with ICG Longbow.
The site is a former car park adjacent to the new Bond Street Crossrail station. The hotel is expected to open in early 2023.
Shiva Hotels managing director Rishi Sachdev said: “This is a challenging time for everyone involved in the hospitality sector and our near-term focus continues to be on working closely with all our stakeholders to navigate through this period of uncertainty.
“Longer-term however, we are steadfast in our conviction that the global appeal of London will continue and that this will translate into strong demand for our carefully curated hotels in highly desirable locations.”
BBS Capital acted as debt adviser for Shiva Hotels.
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