Cohort Capital and King Street Capital Management have secured a £348m senior loan facility from Apollo to support the refinancing of The Park Tower Hotel in Knightsbridge, London.
The transaction refinances debt initially provided by Cale Street Partners and follows a £68m mezzanine facility completed by Cohort Capital in July, which helped reduce and partially repay existing debt, providing additional time to secure further refinancing.
The 16-storey The Park Tower Hotel was built in 1973 and comprises 271 rooms, a casino and the Nusr-Et restaurant.
Rob Pritchard, chief investment officer at Cohort Capital, said: “Park Tower represents a combination of scale and high repositioning potential in London’s prime hospitality market. Our approach supported the sponsor’s strategy and enabled us to structure a facility that unlocks the asset’s long-term value. This transaction underscores Cohort’s ability to execute on complex, large-scale financing in partnership with leading institutional stakeholders and reflects our growing capacity to support borrowers across the UK real estate market.”
Paul Brennan, partner and co-head of real estate at King Street Capital Management, added: “Park Tower is a landmark Knightsbridge hotel. This transaction plays to our structuring expertise and focus on high quality hospitality and residential opportunities. We’re pleased to partner with Apollo and Park Tower’s ownership, further underscoring our collaborative approach to working with experienced sponsors and lenders on high quality, complex assets.”
King Street and Cohort Capital were advised by Simpson Thacher & Bartlett, Mishcon De Reya and Knight Frank. Linklaters advised Apollo. The sponsor was advised by Taylor Wessing and Mutual Finance.
