Bain Capital and Canyon Capital have refinanced their QHotels portfolio with a £340m loan arranged by Blackstone.
The financing reflects a 65% loan-to-value on the portfolio of 27 hotels and has been provided by a club understood to include Wells Fargo.
The new facility values the hotels at around £524m, 19% less than the £650m figure that was sought for the portfolio when it was put up for sale last March.
Blackstone backed the purchase of the properties by Bain Capital Credit, formerly Sankaty Advisors, and partner Canyon Capital.
QHotels was sold as part of IBRC’s £5.2bn Project Rock and Salt portfolios in 2014.
The original loan was extended by Blackstone Mortgage Trust, the US-listed mortgage REIT, which also arranged and invested in the new finance package.
The portfolio as it is now is the merging of two separate collections of assets, both secured by loans that were sold by IBRC two years ago.
One loan was secured against six De Vere assets, including Oulton Hall in Leeds and Mottram Hall in Cheshire, and a further 21 hotels operating under the name of QHotels.
Among the assets included in the 21-asset hotel portfolio is the Midland Hotel in Manchester, valued at the time at £59m.
The hotel is famous as the site where Rolls-Royce was founded in 1904.
• To send feedback, email mike.cobb@estatesgazette.com or tweet @MikeCobbEG or @estatesgazette
