NexPoint Diversified Real Estate Trust (NXDT) and its partner, Alamo Manhattan have refinanced the Marriott Dallas Uptown, a 255-key hotel located in the Uptown submarket of Dallas.

The new $95 million financing includes $87.5 million in initial loan proceeds used to replace the Property’s outstanding debt, as well as two future-funded earnout facilities that provide potential to access $7.5 million in additional capital. The financing was provided by KKR via its opportunistic real estate credit strategy.

The transaction provides significant interest expense savings and results in approximately $19 million in cash proceeds for NXDT and Alamo Manhattan collectively. NXDT’s share of these proceeds is roughly $15 million.

The 14-story hotel, majority owned by NXDT through AM Uptown Hotel, LLC, is located at 3033 Fairmount Street in Dallas’s Uptown neighborhood. The Property offers approximately 13,000 square feet of meeting space and a range of amenities, including a rooftop pool, lounge, and ground-floor restaurant. NXDT provided funding to develop the Property, which opened in the first quarter of 2021.