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Chicago & Midwest  + Downtown  + Hospitality  | 

Downtown Residence Inn Garners $141M Financing

Prime LaSalle/Madison Partners, the owner of the 381-key Residence Inn Chicago Downtown/Loop located at 11 S. LaSalle, closed on $141 million of new senior and mezzanine loan financing. The lender wasn’t disclosed. PLMP is owned and controlled by The Prime Group, Inc.

Proceeds of the financing were used to repay the senior loan and preferred equity financing originally funded to acquire and construct the hotel, to establish reserves and to pay fees and transaction costs.

“Based on the quality, location, and historical performance of the hotel, we were very fortunate to secure attractive financing in spite of the tumultuous times facing the hospitality industry,” said Prime CEO Michael W. Reschke. “This new financing was structured to give time for the hotel to fully recover over the next two years, a time period we conservatively estimate may be required before the pandemic is eradicated and the hospitality industry fully recovers.”

For comments, questions or concerns, please contact Paul Bubny

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About Paul Bubny

Paul Bubny serves as Senior Content Director for Connect Commercial Real Estate, a role to which he brings 16-plus years’ experience covering the commercial real estate industry and 30-plus years in business-to-business journalism. In this capacity, he oversees daily operations while also reporting on both local/regional markets and national trends, covering individual transactions across all property types, as well as delving into broader subject matter. He produces 7-10 daily news stories per day and works with the Connect team and clients to develop longer-form content, ranging from Q&As to thought-leadership pieces. Prior to joining Connect, Paul was Managing Editor for both Real Estate Forum and GlobeSt.com at American Lawyer Media, where he oversaw operations at both publications while also producing daily news and feature-length articles. His tenure in B2B publishing stretches back into the print era, and he has served as Editor in Chief on four national trade publications. Since 1999, Paul has volunteered as the newsletter editor of passenger rail advocacy groups (one national, one local).

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