Blackstone Group LP affiliates refinanced three hotels that the firm purchased in 2015 through a pair of commercial mortgage-backed securities transactions worth a total of roughly $1.05 billion, according to presale reports.
The first CMBS loan package totals $415.0 million, which includes a $365.0 million mortgage loan secured by the JW Marriott Phoenix Desert Ridge Resort & Spa full-service hotel in Phoenix and a $50.0 million mezzanine loan, according to a report from Morningstar Credit Ratings LLC.
According to a separate report, the other CMBS package amounts to $630.0 million, comprising a $540.0 million mortgage loan and two mezzanine loans for $44.2 million and $45.8 million. The package also comes with an equity infusion of about $2.3 million. The $540.0 million mortgage loan is secured by two adjacent full-service hotels — a Ritz-Carlton and a JW Marriott — at the Grande Lakes Resort in Orlando, Fla.
Morgan Stanley Mortgage Capital Holdings LLC is the originator of the JW Marriott Phoenix Desert Ridge Resort & Spa mortgage loan, and Barclays Bank PLC and Wells Fargo Bank are the lenders in the Grande Lakes Resort transaction.
Blackstone purchased the three hotels from Paulson, Winthrop Realty Trust and Capital Trust in 2015 for a total of $1.23 billion, Robert W. Baird analysts said in a note.
Morningstar assigned a preliminary AAA rating to the $172.0 million top class of the Grande Lakes transaction, a preliminary AA- rating to the $75.1 billion B class, and a preliminary A- rating to the $58.9 million C class. Also on a preliminary basis, it assigned a BBB- rating to the $52.3 million D class, a BB- rating to the $75.1 million E class and a B- rating to the $79.8 million F class. A $27 million risk retention class was not rated.
In the Desert Ridge transaction, it assigned preliminary ratings of AAA to the $115.2 million top class, AA- to the $49.5 million B class, A- to the $27.3 million C class, BBB to the $31.0 million D class, BB to the $48.0 million E class, B to the $55.0 million F class and B- to the $20.3 million G class. An $18.7 million risk retention class was not rated.
