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Marriott LAX — Trophy Hotel Acquisition

5855 W Century Blvd · Los Angeles, CA
Amount
$146,500,000
Type
Acquisition
Rooms
1,004
Close
40 Days
Rate
Fixed

An 18-story trophy hotel at one of the busiest airports in the country.

The Marriott LAX — a 1,004-key, 18-story airport hotel adjacent to Los Angeles International — came under contract to a sponsor seeking both acquisition capital and funding for a property improvement program. Airport-adjacent hospitality is a specialized underwriting category, and the transaction required a lender comfortable with the asset, the market, and the operator.

The Challenge

45-day contract close on a $146.5M hospitality asset.

The sponsor engaged Bauta Capital Advisory already under contract, with a 45-day close requirement and the need to structure acquisition proceeds plus a PIP reserve in a single facility. Hospitality underwriting at this size demands lenders with conviction in the flag, the market, and the management plan — and speed to execute without losing certainty.

The Solution

Acquisition plus PIP capital, structured and closed in 40 days.

We ran a focused process with hospitality-specialist lenders, structured the facility to cover both the purchase price and the improvement budget, and locked in a fixed rate. The deal closed in 40 days — five days ahead of the contract deadline — with clean execution on diligence, legal, and funding.

Outcome

  1. 01Closed in 40 days — ahead of the 45-day contract deadline.
  2. 02$146.5M financing covering acquisition and property improvement program.
  3. 03Fixed-rate structure suited to long-hold hospitality strategy.
  4. 04Trophy asset added to sponsor's institutional hospitality portfolio.
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