- Client: US-based hospitality developer
- Challenge: Required a full-cycle development funding structure after previous lenders were unable to support the project's long-term strategy
- Loan Amount: Circa $80M development finance facility
Large-scale hospitality developments rarely require funding for just one stage of the project. A US-based developer approached Enness seeking a financing solution that could support a hospitality-led mixed-use scheme from acquisition through construction and into long-term operational stabilisation. With a total funding requirement of approximately $80M, the objective was to secure a structure that would evolve alongside the project while supporting the client's wider investment strategy.
Previous funding discussions had proved unsuccessful, not because of the quality of the development, but because many lenders were only comfortable financing individual stages of the project. The client wanted a funding partner capable of taking a longer-term view, recognising that construction, operational ramp-up and stabilisation each have different capital requirements and risk profiles.
Working with specialist lenders active in the US hospitality development market, Enness structured a bespoke financing strategy designed to support the project throughout its lifecycle, subject to lender assessment and approval. The proposed facility of approximately $80M incorporated funding aligned with key development milestones while providing the flexibility needed as the project progressed from construction towards operational maturity.
By aligning the financing structure with the project's delivery programme rather than a single phase of development, the client was able to move forward with greater certainty over its long-term funding strategy. This transaction highlights the value of specialist development finance for complex hospitality projects where funding requirements extend well beyond the initial construction period.
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