Rio Partners Secures $70M for Hotel Recapitalizations
The firm obtained the loan, arranged by PMZ Realty Capital LLC, in order to upgrade two hospitality assets and pay off existing debt.
NEW YORK, NY – New York-based boutique real estate investment banking firm, PMZ Realty Capital LLC has arranged $70 million in joint-venture equity and debt financing to recapitalize two hospitality properties of Rio Partners.
Rio Partners utilized the proceeds from the two separate recapitalization transactions to upgrade the properties and pay off existing debt.
The two properties include the 150-room Holiday Inn Express Charleston Downtown – Medical Center in Charleston, SC and The Partridge Inn Augusta, Curio Collection by Hilton in Augusta, GA, which features 153 rooms.
“The strength of our diverse relationships with a multitude of capital sources allowed us to source equity capital from two private equity funds, one of which is new to investing in hospitality as well as debt from two separate debt funds,” says Michael H. Sonnabend, managing member of PMZ Realty Capital.
Sonnabend adds, “Rio Partners was able to complete a total recapitalization on both assets which will allow them to be better prepared for the return to pre-pandemic business levels.”