NEW YORK CITY—The Related Cos. and Highbridge PrincipalStrategies have agreed to lend developer David Marx $60 million forhis plan to build a 399-room Marriott Courtyard hotel on the cornerof West 34th street and 10th avenue, according to Crain's NewYork Business. In total, the project is slated to cost $181rooms and offer 385 rooms, GlobeSt.com previously reported.
Marx is using funds raised through the government's EB-5 programto finance the project. In the meanwhile, the money from Relatedand Highbridge is being used as a bridge loan to do predevelopmentwork. Securing capital through the EB-5 program, under which developers can procure project funding from foreigninvestors in exchange for a green card, can be a lengthyprocess.
Related and Highbridge are providing the $60 million loanthrough a joint venture they formed last year to manage a new creditplatform that will invest $800 million in real estate debt. So far,the JV has allocated about $300 million of its coffers. Theplatform aims to provide bridge loans and other specialty financingto development projects and other properties that are intransition, Crain's notes.
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Rayna Katz
Rayna Katz is a seasoned business journalist whose extensive experience includes coverage of the lodging sector, travel and the culinary space. She was most recently content director for a business-to-business publisher, overseeing four publications. While at Meeting News, a travel trade publication, she received a Best Reporting award for a story on meeting cancellations in New Orleans during Hurricane Katrina.
