$430M in refinancing arranged for the luxury hotel, Fairmont Austin

Core Insights - JLL's Capital Markets group facilitated a $430 million refinancing for Fairmont Austin, a luxury hotel in downtown Austin, highlighting the strong demand for financing in the current market [1][8]. Company Overview - Fairmont Austin is a 37-story luxury hotel developed by Manchester Financial Group, featuring 1,048 guestrooms and suites, and nearly 140,000 square feet of meeting space [9]. - Manchester Financial Group, founded in 1970, specializes in hotel and commercial real estate development, with over $5 billion in assets developed globally [6]. Financing Details - The refinancing package included a five-year, interest-only fixed-rate SASB CMBS loan, replacing a $300 million senior loan and $125 million of mezzanine debt [8]. - Goldman Sachs acted as the lead manager and sole bookrunner for the refinancing [8]. Market Position - Fairmont Austin is strategically positioned to benefit from ongoing construction projects in the area, capitalizing on Austin's rapid growth [3]. - The hotel is located within walking distance of key lifestyle and entertainment areas, enhancing its appeal as a top destination [9]. JLL Capital Markets - JLL Capital Markets is a global provider of capital solutions for real estate investors, with over 3,000 specialists worldwide [4]. - The team that led the refinancing included Senior Managing Directors Tim Wright and Aldon Cole, and Director Olga Walsh [10]. Market Response - Despite a challenging debt environment, the capital markets responded positively, leading to a competitive marketing process and favorable terms for the client [11].