Madison Newbond Lends $72M on California Wine Country Hotels
Commercial Observer reported that Madison Newbond, a new institutional lending platform launched by Madison Realty Capital and Newbond Holdings last November, originated a $72 million loan for two newly built hotels in California’s wine country region. The debt package, provided to Stratus Development Partners, will be used to refinance existing construction debt on the 135-key Cambria Sonoma Wine Country and the 90-key Cambria Napa Valley hotels. Napa and Sonoma counties, which welcome more than 14 million annual tourists, have high barriers to local development approvals and rising construction costs with very few new competitive hotels in the works. Hotel occupancy in both regions have made recent strides through, increasing 32 percent the last 12 months in Sonoma and 70 percent in Napa during the same period.
