San Francisco, CA – May 22, 2012 – CBRE, through its Capital Markets Debt & Equity Finance division, announced that it has arranged $35,000,000 in financing for the 156-room Marriott Residence Inn (MRI) located on the border of Palo Alto at 4460 El Camino in Los Altos, in the heart of Silicon Valley. The CBRE Debt & Equity Finance team of John Nelson, Executive Vice President; Jim Korinek, Executive Vice President; and Michael Walker, Senior Analyst of CBRE’s San Francisco, Calif. office, worked to originate the loan on behalf of Sand Hill Property Company. CBRE placed the financing with J.P. Morgan Chase Bank, N.A. The $35,000,000 financing is non-recourse and the rate is fixed for 10 years, and the loan amount represents a very high valuation of the property.
The MRI is a premier Extended Stay hotel with amenities including outdoor pool, whirlpool, sport court, exercise room and business center. Sand Hill Property Company originally built the hotel in 2001. Since its opening, the hotel has always been highly ranked within the Marriott system and has won numerous awards, including the “Platinum award,” which is the highest award given to Marriott branded hotels for guest satisfaction.
John Nelson comments, “This was a very sought after and competitive financing by numerous capital sources because of the asset’s performance, strong market and experienced sponsorship. I’m confident we delivered a very good capital solution to the borrower that satisfied the borrower’s long-term financing objectives.”
The hotel is located in the heart of Silicon Valley, widely considered one of the top real estate investment markets in the United States, approximately 4 miles from Stanford University, near to many of the world’s largest technology corporations. Silicon Valley is well known as the leading hub for high-tech innovation and development, accounting for one-third of all of the venture capital investment in the United States.
About CBRE Group, Inc.
CBRE Group, Inc. (NYSE:CBG), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services firm (in terms of 2011 revenue). The Company has approximately 34,000 employees (excluding affiliates), and serves real estate owners, investors and occupiers through more than 300 offices (excluding affiliates) worldwide. CBRE offers strategic advice and execution for property sales and leasing; corporate services; property, facilities and project management; mortgage banking; appraisal and valuation; development services; investment management; and research and consulting. Please visit our Web site at www.cbre.com.