NEW YORK, Aug. 26, 2014 /PRNewswire/ -- Thor Equities has secured a $420 million refinancing deal for the celebrated Palmer House Hilton in the heart of downtown Chicago, company executives announced today. The landmark property, acquired by Thor in 2005, is home to a 1,642 room, 23 story luxury hotel.
Jones Lang LaSalle represented Thor Equities in refinancing the current $365 million loan, moving to a more favorable $420 million loan with a lower interest rate, resulting in millions of dollars in savings per year. JP Morgan provided the 5-year floating-rate, CMBS loan. Overall, the refinancing deal provides Thor Equities with a significantly more flexible loan structure.
"Taking advantage of attractive interest rates and flexible loan terms is critical to creating a long-term successful business model in today's hyper-competitive real estate market," said Michael Schurer, CFO of Thor Equities.
The Palmer House Hilton's 1,642 guestrooms and suites feature vibrant, contemporary design elements and amenities styled after the historic Chicago hotel lineage and impeccable guest services. A destination spot for shoppers everywhere, State Street draws millions of shoppers annually to its grand "retail palaces" and surrounding shopping opportunities with an annual retail sales volume approaching $1 billion. Other nearby retail options include Puma, H & M, Nordstrom Rack, Urban Outfitters and Forever 21.
About Thor Equities
Thor Equities is a global leader in urban real estate development, leasing and management, pursuing premier hotel, commercial, residential, retail and mixed-use assets in high-density areas. Through its brokerage affiliates, Thor Retail Advisors, it is also a premier leasing agent for third-party property owners and exclusively represents global retailers in their search for prime urban locations in North America, Europe and Latin America. Through Town Residential, it is a leader in sales and rental marketing. Thor Equities provides the best possible High Street retail, commercial, residential, hotel and mixed-use building environments within urban centers across the United States – all while delivering attractive, risk-adjusted returns to high-net worth and institutional investors. For more information about the company, visit www.thorequities.com
SOURCE Thor Equities