BD Hotels Lands $75M for South Florida Hotel, Its First Outside NY
By Julia Echikson October 18, 2024 3:28 pm
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BD Hotels’ first property outside of New York is getting off the ground in West Palm Beach, Fla.
The hotel operator — led by Richard Born, who’s known for running some of New York City’s most iconic hotels, such as The Bowery, The Mercer and Hotel Chelsea — has secured a $75 million construction loan from Metropolitan Commercial Bank, alongside development partners NDT Development, Place Projects and Wheelock Street Capital.
The new, six-story hotel, to be built within the Nora mixed-use development, will house 201 rooms at 1055 N Railroad Avenue. The 175,000-square-foot development is expected to be completed in 2026.
Steven Klein and Mark Fisher of JLL brokered the debt.
The financing marks the second construction loan for Nora, a 40-acre, open-air project along North Railroad Avenue north of the city’s downtown.
In June, Bank OZK provided a $84 million mortgage for the first phase, which will feature about 150,000 square feet of retail and 55,000 square feet for office space inside rehabilitated warehouses and new development. Construction is expected to be completed next year.
First-phase tenants include Loco Taqueria & Oyster Bar, New York’s H&H Bagels, Van Leeuwen Ice Cream and Juliana’s Pizza, as well as West Palm Beach’s Celis Juice Bar and Café and national boutique fitness chains Rumble and Solidcore.
Julia Echikson can be reached at jechikson@commercialobserver.com.
