Stonehill Provides $ 34 Million Refinancing for David Whitney Building in Detroit – Commercial Observer
Atlanta-based private lender Strategic capital of Stonehill, a credit division within Peachtree Hotel Group, contracted $ 34 million in debt to refinance and recapitalize the David Whitney Building in downtown Detroit, learned Commercial Observer.
The three-year, interest-only and non-recourse funding was awarded to The Roxbury Group, a Detroit-based real estate investment and development firm that has partnered with Managing trans hostels years ago to restore and redevelop Detroit’s well-known asset into a $ 94 million mixed-use building with a in hot altitudeeI, 105 apartments, approximately 11,000 square feet of meeting and ballroom space, and downstairs shopping, according to the Roxbury website.
Roxbury and Trans Inns launched the redesigned David Whitney Building in 2014 – 15 years after it closed in 1999 – as Detroit aloft at David Whitney hotel, with plans to subsequently deliver the other aspects of the mixed-use property, which is located 1 Avenue du Parc in the heart of Detroit.
The development joint venture – called Whitney Partners – used historic federal and state tax credits, as well as the federal government’s New Business Tax Credit program, which was created in 2000 as a way to stimulate investment and development in communities in low income by offering non-refundable tax credits against federal income tax.
Restoration of the historic 19-story property has maintained it as one of the three remaining pieces of real estate in Detroit, originally designed by a renowned architectural firm. Daniel H. Burnham & Co. Originally built in 1915, the David Whitney Building now sports the Aloft Hotel as well as David Whitney residences, and the WXYZ bar.
The property is located next to the Grand Cirque Park light rail station in a thriving arts and entertainment district in downtown Detroit, near the United Artists Theater Building, the Detroit Opera House and a variety of shops and restaurants.
Roxbury officials did not respond to an investigation before the publication.
Mack Burke can be contacted at [email protected].