By Bogdan Odagescu
Metropolis Capital Advisors has arranged a $10 million acquisition and renovation loan for 101 N. Charles St., a historic office building being redeveloped into a hotel in downtown Baltimore. The 12-story, 68,967-square-foot property is slated to open under InterContinental’s Candlewood Suites brand in 2018. The loan was provided at a 75 percent loan-to-cost ratio on an interest-only basis to carry the borrower through renovation and opening of the property.
According to Baltimore City public records, 101 N. Charles St. traded in June 2017. The buyer, 101 N. Charles Hospitality LLC, shelled out $3.8 million. The limited liability company located at 2116 Emmorton Park Road in Edgewood, Md., shares an address with Sunset Hotel Group, a chain that operates several hotels, most of which are situated in Maryland. The seller of the downtown Baltimore building is an affiliate of Rialto Capital Management, a subsidiary of Lennar Corp.
Managing Director Eric Hynek led the Metropolis team representing the borrower.
A hotel long in the making
Constructed in 1884, the former Jefferson building changed hands in 2006 for $5.7 million, with the owner planning a 100-key Staybridge Suites, according to The Baltimore Sun. The developer entered bankruptcy in 2010 and a Rialto affiliate organized the first foreclosure auction in 2011. Another Rialto affiliate acquired the asset in 2013 for $3 million, with the company looking to market the asset to potential hospitality developers.
Image courtesy of JLL