The U.S. real estate arm of international investment firm Investcorp has purchased the mezzanine debt on the Paramount Hotel at 245 West 46th Street from San Francisco-based Fillmore Capital Partners, GlobeSt.com reported. The debt includes two existing mezzanine loans with a principal balance of $40 million.
Aby Rosen and Michael Fuchs’ RFR Holding bought the Paramount Hotel for $275 million from Walton Street Capital and Highgate Holdings earlier this year.
“We’re pleased to have had a chance to provide financing for a transaction involving one of New York City’s most renowned hotels, and one that is in a particularly attractive location,” Christopher Hoeffel, a managing director at Investcorp, in a statement.
This is not the first time Investcorp has partnered with RFR, GlobeSt.com noted. In 2004, Investcorp acquired the W South Beach and developed the hotel and condominium project with the RFR. [GlobeSt]