Our representation and counsel to the Strategic Hotel group includes these global financings:

• A $300 million, stock-secured credit facility with an accordion feature allowing for additional borrowing capacity up to $400 million.  The credit facility is secured by an equity pledge in direct and indirect subsidiaries that own, lease or operate five of the company's assets:  Ritz-Carlton Half Moon Bay, Ritz-Carlton Laguna Niguel, the Four Seasons Jackson Hole, the Four Seasons Silicon Valley and the Marriott Lincolnshire Hotels.  In a related transaction, the firm represented Strategic Hotels & Resorts in obtaining a release of the Four Seasons Punta Mita from the predecessor credit facility.

• The closing of a $120 million limited recourse loan secured by the Loews Santa Monica Beach Hotel to replace the $110 million financing previously encumbering the property.

• The purchase of the remaining 63.6 percent equity interest in the Hotel del Coronado in San Diego, California from The Blackstone Group, L.P., one of the world’s leading investment and advisory firms, for $210 million in cash.  With the completion of the acquisition, Strategic now has 100 percent ownership of the Coronado, a beachfront hotel designated a National Historic Landmark and considered one of the top ten resorts in the world.

• An increase in its joint venture interest in the Hotel del Coronado, amendments to the management agreement for the hotel and refinancing of the underlying mortgage and mezzanine debt.  The property includes the 679-room luxury property, a spa and beach club, a 78-room beachfront, a luxury condominium-hotel development and a zoned parcel for an additional 144-room development.  We represented Strategic in the 2011 recapitalization and refinancing of the Coronado.

• The closing of a $120 million limited recourse loan secured by the Four Seasons Washington, D.C. Hotel (a/k/a Georgetown Four Seasons Hotel), replacing the $130 million financing previously encumbering the property.

• The purchase of the remaining 50 percent equity interest in the Fairmont Scottsdale Princess resort from an affiliate of Walton Street Capital, LLC for approximately $90.6 million.  With the completion of the transaction, Strategic now owns 100 percent of the Fairmont Scottsdale Princess.  The transaction values the asset at a gross value of $307.5 million and includes the assumption of the existing $117 million mortgage financing.  As part of the transaction, the company earned a promoted interest that was negotiated during the 2011 restructuring of the asset totaling $19.3 million, resulting in a net purchase price of approximately $288 million.