Stratus Development Partners has nabbed $42 million in financing for the construction of two Cambria Suites—one in Sonoma County and one in Napa Valley, Calif. Alternative lender HALL Structured Finance (HSF) provided two first lien loans for the properties.
A $19.8 million construction loan was provided by the Texas lender for the development of the Cambria Suites in Napa—a 90-room hotel located at 320 Soscol Avenue. With a projected completion date of 2019, the four-story hotel will feature a restaurant, an outdoor pool, a fitness center, guest laundry facilities, a business center and approximately 2,012 square feet of meeting space.
For the Cambria Sonoma property, HSF provided a $22.1 million construction loan. The 135-room hotel will be located at 5870 Labath Avenue, next to several wineries. The Sonoma Cambria Hotel is also expected to open in 2019.
“The strength of tourism in the Napa Valley and Sonoma wine industries will be a major demand generator for these hotels,” said Mike Jaynes, the president of HALL Structured Finance, in prepared remarks. “There are very few sites left in the region that are entitled for hotel development, and we are confident that these Cambria products will be very successful in the area’s current hotel market.”
Securing a construction loan today is “difficult to say the least,” said David Wood, Stratus Development Partners’ project developer. “HSF worked with us diligently every step of the way to find a capital solution that worked for our unique needs, and they went above and beyond to secure both loans so that our team could begin construction.”
Scott Silver, the chairman of Hospitality Funding and Silver & Associates brokered the loans.