Thor Equities has secured a $420 million refinancing deal for the celebrated Palmer House Hilton in the heart of downtown Chicago. 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.
