Shiva Hotels Group, the UK-focused hotel owner and manager, has secured a £230 million development financing package from Cale Street Investments, the real estate investment and finance firm and Crosstree Real Estate Partners, the UK-focused real estate investment firm, to fund the construction, through to completion, of its 199-key luxury lifestyle hotel in Marylebone, London.
Cale Street is providing £160 million and Crosstree £70 million of the initial four-year facility, which has an option to extend and refinances an £80 million loan that was in place with ICG Longbow. It represents the Group’s first transaction with Cale Street and Crosstree, both of which have extensive experience financing complex hotel projects of this type.
“This is a major milestone for our Marylebone Lane development, and brings the delivery of what we believe will be one of London’s most iconic hotels one step closer. Cale Street and Crosstree are both hugely experienced and highly selective real estate financiers and bring a deep understanding of the UK hospitality sector. Securing this package, particularly in the current economic climate, is a further endorsement of our vision to create an unrivalled luxury lifestyle hotel brand and we are extremely excited to be partnering with both parties.” – Rishi Sachdev, Managing Director of Shiva Hotels.