LOS ANGELES, – JLL’s Hotels & Hospitality Group announced today that it has arranged a $128 million loan for the JW Marriott Desert Springs Resort & Spa, an 884-key, resort in Palm Desert, California.
JLL worked on behalf of the sponsor, Kam Sang Company, LLC to secure the five-year, fixed-rate, interest-only loan, which was originated by Goldman Sachs Bank USA. Loan proceeds were used by the owner to repay the existing loan, which was scheduled to mature in February 2022.
The JW Marriott Desert Springs Resort & Spa completed a $40 million renovation in early 2020 resulting in the creation of additional suites and substantial upgrades to all guestrooms, which offer sweeping views of the resort and surrounding mountain and desert landscape. Spanning on 286-acres, the resort features an impressive array of amenities including five swimming pools, two 18-hole championship golf courses, a world-acclaimed Peter Burwash International Tennis Center, a 47-treatment room spa facility, an aviary, 35 acres of sparkling streams, lakes and cascading waterfalls, a 12,000 square-foot entertainment zone and over 234,000 square-feet of indoor and outdoor event space. In addition, the resort offers a broad collection of food and beverage outlets, including T&T Innovation Kitchen, Mikado Japanese Steakhouse, Blue Star Lounge, Rockwood Grill, Aquifer65 and more.
The AAA Four-Diamond resort, is proximate to the area’s most popular attractions, including The Living Desert Zoo, Palm Springs Aerial Tramway, Joshua Tree National Park, El Paseo Shopping District, and Palm Springs Convention Center. Additionally, the resort is located near popular festivals and events, including Coachella Valley Music & Arts Festival, the BNP Paribas Open and Stagecoach Festival. The resort is located within a two-hour drive of Los Angeles, Orange County and San Diego and is approximately 20 minutes from the Palm Springs International Airport.
The JLL Hotels & Hospitality team representing the borrower was led by Executive Vice President Mike Huth and Vice President Shalin Patel.
“The resort’s recently renovated accommodations, sprawling grounds, unique offering of amenities and drive-to location in the Coachella Valley enabled it to draw transient leisure demand primarily from families living in California and across the southwestern U.S. throughout the pandemic,” said Huth. “The uptick in group demand during the second half of the year has been impressive to witness and something that we expect to gain momentum in 2022.”
JLL’s Hotels & Hospitality Group has completed more transactions than any other hotels and hospitality real estate advisor over the last five years, totaling $83 billion worldwide. The group’s 350-strong global team in over 20 countries also closed more than 7,350 advisory, valuation and asset management assignments. Our hotel valuation, brokerage, asset management and consultancy services have helped more hotel investors, owners and operators achieve high returns on their assets than any other real estate advisor in the world.