Sam Chang scores $120M in debt, equity for Hyatt Place project

Bank of Ozarks, Square Mile Capital provided funds for 520-key hotel

Sam Chang secured a $120 million debt-and-equity package for his Hyatt Place hotel now under construction in the Garment District, he confirmed to The Real Deal.

The package includes a $95 million first mortgage from Bank of the Ozarks and $25 million in preferred equity from Square Mile Capital Management. His firm, McSam Hotel Group, is building a 25-story, 520-key property on the site, located at 350 West 39th Street.

Chang broke ground on the Gene Kaufman-designed project last fall. It is slated for completion in late 2018.

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Eastern Consolidated’s Adam Hakim and James Murad brokered the debt-and-equity deal.

Representatives for Bank of the Ozarks and Square Mile Capital could not be reached for comment.

The 180,000-square-foot hotel is one of three rising on a block-long site between Eighth and Ninth avenues, formerly home to the digital advertising agency R/GA. Chang is building two of them, while Quadrum Global is developing a 26-story, 500-key hotel designed by Marvel Architects. Each firm paid $56 million for the site in 2014, records show.

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Sam Chang scores $120M in debt, equity for Hyatt Place project

Bank of Ozarks, Square Mile Capital provided funds for 520-key hotel

Sam Chang secured a $120 million debt-and-equity package for his Hyatt Place hotel now under construction in the Garment District, he confirmed to The Real Deal.

The package includes a $95 million first mortgage from Bank of the Ozarks and $25 million in preferred equity from Square Mile Capital Management. His firm, McSam Hotel Group, is building a 25-story, 520-key property on the site, located at 350 West 39th Street.

Chang broke ground on the Gene Kaufman-designed project last fall. It is slated for completion in late 2018.

Sign Up for the undefined Newsletter

By signing up, you agree to TheRealDeal Terms of Use and acknowledge the data practices in our Privacy Policy.

Eastern Consolidated’s Adam Hakim and James Murad brokered the debt-and-equity deal.

Representatives for Bank of the Ozarks and Square Mile Capital could not be reached for comment.

The 180,000-square-foot hotel is one of three rising on a block-long site between Eighth and Ninth avenues, formerly home to the digital advertising agency R/GA. Chang is building two of them, while Quadrum Global is developing a 26-story, 500-key hotel designed by Marvel Architects. Each firm paid $56 million for the site in 2014, records show.

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