SpringHill Suites by Marriott Avondale
Trez Capital Closes $15MM Construction Financing Loan for Virtua Partners to Develop 128-Room SpringHill Suites by Marriott Near Phoenix
Trez Capital announced the closing of a $15 million construction financing loan for Phoenix-based Virtua Partners' first-ever Opportunity Zone project. Virtua Credit, a commercial real estate investment and advisory services firm, arranged the loan, which will finance a 128-room SpringHill Suites by Marriott in Avondale, a suburb just west of Phoenix. Located off North 99th Avenue in Avondale, the hotel will anchor a 58-acre mixed-use development that will include retail, restaurant, multifamily and single-family developments.
Photo by Trez Capital
The hotel, which is slated to open summer 2020, will have the latest design elements from the Marriott brand, including a new décor package. In addition to a fitness center and pool, the hotel will also feature amenities for the business traveler like free Wi-Fi, in-suite workspaces and an on-site business center. Hotel Equities will manage the hotel once it opens next year.
The Opportunity Zone program was introduced in the 2017 Tax Cuts and Jobs Act as a bipartisan effort to encourage private capital to invest in economically distressed areas. Significant tax breaks are offered as incentives for long-term investment in designated communities.
This is the second limited service hotel Trez Capital has financed for Virtua Partners. In 2018, Trez Capital financed a 116-room Fairfield Inn & Suites by Marriott in Tolleson, which is also in the west Phoenix area.