Signs you are here
- The capital stack has a gap, usually at the mezzanine or preferred equity layer.
- Construction is over budget or behind, and the lender is asking questions.
- Franchise terms or brand standards are holding up the opening.
- The hotel is open, but it is not performing the way the plan said it would.
How I work it
- DiagnoseI read the budget, the loan documents, the franchise agreement, and the schedule, and I talk to everyone on the team.
- Fix the capitalRe-cut the stack, bring in mezzanine or preferred equity, and work with the lender on draws and timing.
- Run the buildArchitects, GC, subs, engineers, and the building systems that usually cause the delay.
- Open and operateBrand, franchise, SOPs, systems, and the P&L.
Where I have done it
Hotels · ConversionHyatt House & Hyatt Place LAXA 258,000 SF office building becomes a 401-key dual-brand hotel.Hotels · Capital MarketsWaldorf Astoria Beverly HillsA $400M luxury hotel in Beverly Hills needed a mezzanine loan.Lodging · Company BuildingStay Open Hotels & ManagementCommercial to co-lodging. There was no playbook, so I wrote it.
Questions
Can you step into a hotel project that is already under construction?
Yes. On the LAX Hyatt conversion I managed the loan draws, the insurance program, the IT build, and the team of architects, contractors, and engineers through delivery. Stepping into a live project starts with the budget, the schedule, and the lender.
Do you raise capital for hotel projects?
Yes. I financed the $150M mezzanine loan on the Waldorf Astoria Beverly Hills and closed $100M of debt and equity on the LAX Hyatt. In total I have raised $275M+ of debt and equity.
What kinds of hotels do you work on?
Luxury, select-service, extended-stay, and lower-cost lodging, including conversions of office and commercial buildings.