New York, NY – July 2, 2014 – (RealEstateRama) — PCCP, LLC announced today it has provided a $30.3 million loan commitment to a venture led by Sage Hospitality for the acquisition and renovation of Marriott Minneapolis Southwest, a 321-key full-service hotel 12 miles southwest of Downtown Minneapolis in Minnetonka, MN.
Built in 1988, Marriott Minneapolis Southwest is a 16-story hotel with more than 14,500 square feet of meeting facilities, over 4,700 square feet of function space, a restaurant, lobby bar/lounge, fitness center, and indoor pool.
“This is our first transaction with Sage Hospitality and we are pleased to be a part of this acquisition with such an experienced owner and operator,” stated John Randall, senior vice president. “The hotel has value-added potential as the new owner plans on making improvements in management and renovation. This, in combination with a strong local market that continues to thrive and grow, presents a promising long-term opportunity.”
The new owner has plans to invest nearly $10 million to enhance management and staffing of the hotel as well as to implement a full renovation of the hotel rooms, function spaces, public restrooms, lobbies and elevator cabs. Situated on just over ten acres at 5801 Opus Pkwy, the hotel is located in the affluent Minneapolis submarket of Minnetonka and is a part of the 640-acre Opus 2 Business Park, the area’s largest employment center. Additionally, it is the only full-service hotel within the business park and sits directly across the street from the world headquarters of United Health Group, one of the largest public companies in the U.S. in terms of revenue. The hotel also offers excellent visibility from Highway 169 and is close to Interstate 494.
About PCCP, LLC: PCCP, LLC is a premier real estate finance and investment management firm focused on commercial real estate debt and equity investments. PCCP has over $6 billion in assets under management on behalf of institutional investors. With offices in New York, San Francisco, Sacramento and Los Angeles, PCCP has a proven track record for providing real estate owners and investors with a broad range of funding options to meet capital requirements. PCCP originates and services each of its investments, ensuring that clients benefit from added value and outstanding investment returns. Since its inception in 1998, PCCP has successfully raised, invested and managed approximately $9 billion of institutional capital through a series of investment vehicles including private equity funds, separate accounts and joint ventures. PCCP continues to seek investment opportunities with proven operators seeking fast and reliable capital. Learn more about PCCP at www.pccpllc.com.
About Sage Hospitality: Founded in 1984, Sage Hospitality has strategically grown into one of the largest privately held hotel investment, management and development companies in the nation operating a variety of large, full-service hotels and extended stay and select-service properties. Sage Hospitality’s comprehensive management portfolio includes major international brands for Marriott, Starwood, Hilton and IHG as well as the independent boutique hotels. Sage Hospitality has further differentiated with the creation of the Sage Restaurant Group, which has created and is managing over nine unique restaurant concepts including the acclaimed Mercat a la Planxa restaurant in Chicago. For more information, please visit www.sagehospitality.com.