The Real Deal New York

Investcorp buys mezzanine debt on Paramount Hotel

November 14, 2011 05:25PM

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]


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