ORLANDO-Fort Lauderdale-based Hospitality Development Group Inc. has secured $45 million to complete predevelopment work on Palazzo Del Lago, a $1.2-billion, 2,015-unit project. The loan was provided by Inland America and arranged by New York City-based Broad Street Advisors, which is serving as an advisor to Hospitality Development Group for the financing of the project. Final permitting for the project will occur in the fall with groundbreaking anticipated late in 2007, according to Broad Street executive vice president Keith Broemmer.

Palazzo Del Lago will be developed on 41 acres on the 214-acre Lake Bryan. The first phase of the development will be the 1,215-unit InterContinental Resort & Residences Orlando. It will be the largest InterContinental Hotel in the world and an official hotel of the Orange County Convention Center, according to Hospitality Development Group chief executive Jerrold Krystoff. The project will also include 800 resort villas in four 18-story towers.

"When completed, Palazzo Del Lago will occupy one of the last prime Orlando resort sites in the area that can be developed due to concurrency constraints," Krystoff says.

In addition to the InterContinental Resort & Residences Orlando and resort villas, the project will include a 300-foot beach, 17,000-sf spa and 121,000-sf convention and banquet facility.