ICG Real Estate, the real estate division of Intermediate Capital Group (ICG) has closed a €62m whole loan to NAOS Hotel Group supporting the forward acquisition of a hotel located at the Nice Cote d’Azur airport under the Sheraton brand.
The 4-star upper scale hotel will comprise 235 rooms with quality amenities, and it is scheduled to open in spring 2022.
The investment was made via ICG Real Estate Debt VI, the latest fund in the Partnership Capital strategy which is targeting €1.7b of capital. The fund focuses on providing self-originated loans, predominately whole loans, and a secondary focus on mezzanine and, preferred equity secured against UK, Northern and Western Europe commercial property.
The Partnership Capital strategy invested £376 million of capital on behalf of our clients in 9 deals over 2021, demonstrating record deployment in the kind of complex market environment that is highly favorable for our strategies.
Philippe Deloffre, Managing Director at ICG Real Estate commented:
We are proud to partner with Naos Hotel Group, a leader in the French hospitality sector. We have strong conviction on the Sheraton Nice Hotel due to the recovery of international travel. In addition to airport custom, demand is supported by its unique location in the Nice Metropolitan area and a very dynamic local business sector.
Pascal Lemarchand, founder, and CEO of Naos Hôtel Groupe said:
Hotel developments increasingly require the use of advanced financial engineering and require a lender with a deep understanding of real estate structures. ICG Real Estate are a group of highly experienced professionals who can support our achievements in central and eastern Europe. We look forward to continuing our partnership.
ICG was advised by Hogan Lovells.
ICG provides flexible capital solutions to help companies develop and grow. We are a global alternative asset manager with over 30 years’ history, managing $71bn of assets and investing across the capital structure. We operate across four asset classes: Structured and Private Equity, Private Debt, Real Assets, and Credit.
We develop long-term relationships with our business partners to deliver value for shareholders, clients, and employees, and use our position of influence to benefit the environment and society. We are committed to being a net zero asset manager across our operations and relevant investments by 2040.
ICG’s real estate division has over $6.6bn AUM of private debt and private equity assets under management in its core strategies of Senior Debt, Partnership Capital (providing whole loans, mezzanine, and preferred equity), Residential Development Finance and Sale and Leaseback.