Aries Capital’s Chairman and CEO, Neil Freeman and Senior Vice President Jeff Bucaro, have secured an $18,150,000, non-recourse construction loan for the renovation of the Malliouhana Hotel and Spa on the Caribbean island of Anguilla in the British West Indies.
Originally opened in 1984, this then 55-room hotel was the first upscale hotel developed on Anguilla. The 20-acre elevated beachfront property overlooking Turtle and Meads Bays, attracted thousands of luxury-seeking tourists and employed hundreds of local residents, before closing its doors in 2011, after the island’s tourism was hard hit by the economic downturn. The borrower purchased the property in 2013 and hired the prestigious, award-winning, Auberge Resorts management company to assist with its renovation and oversee the property’s ongoing marketing and management.
Aries Capital was engaged to lead the financing process due to Freeman’s first-hand experience owning and developing hospitality properties on the island of Anguilla.
Drawing from his familiarity with Anguilla real estate laws and his knowledge of the competitive market, along with the quality of the borrower and management company, Freeman was able to provide comfort to the lender (who was new to Anguilla) as well as guide the borrower through the application and approval process for the required Alien Land Holding License with the Anguilla government.
“We are pleased to have assisted the borrower with this transaction and we will continue to expand our focus in the Caribbean on high-end islands such as Anguilla, Grand Cayman and Nevis/St. Kitts,” said Freeman.
The resort is slated to reopen Fall 2014.
About Aries Capital
Aries Capital, (www.ariescapital.com) is a national full service commercial mortgage and real estate investment banking firm with offices in Chicago, Houston, Phoenix and Miami. Since 1991, Aries and its affiliates have arranged and/or directly funded over $4 billion in debt and equity for office, retail, multifamily, healthcare, hotel/lodging, industrial and special‐purpose properties in the United States and Caribbean. The company, through its affiliates such as the Urban Development Fund (www.urbandevfund.com), has also provided over $500 million in tax credit and mezzanine financing. Aries provides permanent and interim financing through direct correspondent relationships with Wall Street CMBS lenders, life companies, hedge funds, regional banks and other institutional investors.