Driftwood Capital has secured a $60 million refinancing loan for Hilton Cocoa Beach Oceanfront Hotel in Florida.
The loan, secured through a national bank, will support an extensive renovation of the 295-key hotel located at 1550 N Atlantic Avenue
Berkadia arranged a three-year, floating-rate loan with two extension options, full-term interest only payments, and no required depository relationship.
Why it matters
This indicates continued interest in Florida as an investment destination, with the renovation and proximity to popular tourist attractions a positive indicator for investors as it suggests a robust demand for hotel accommodations in the region.
What they said
Carlos Rodriguez, CEO of Driftwood Capital said: We are thrilled to announce the successful closure of a new loan for the Hilton Cocoa Beach Oceanfront. The Space Coast is experiencing remarkable growth, solidifying its position as a premier multi-segment destination in Florida, catering to leisure, corporate, and meeting travelers. The market benefits from diverse demand generators such as the Kennedy Space Center, Port Canaveral, Patrick Space Force Base and renowned beaches. With the imminent completion of the extensive guestroom and bathroom renovations, the Hilton is poised to become the leading full-service hotel in the region.”
Tanya Zapata Sutcliffe, VP of acquisitions at Driftwood Capital added: “Upon full funding, the $60 million loan offers substantial value to our investors, providing flexibility in transitioning from a CMBS loan to a balance sheet mortgage. We anticipate that the best-in-class renovation will empower the Hilton to capture additional market share and capitalize on the growing demand in Cocoa Beach."