BPM Real Estate Group (BPM) has obtained a $115 million non-recourse senior construction loan for the ground-up development of a 12-story, 326-key, four-star Radisson Blu hotel in Anaheim, California, according to a release from a representative of George Smith Partners (GSP). The release says GSP secured the loan for the hotel build, located at 1601 South Anaheim Boulevard and situated within the Disneyland/Anaheim Convention Center submarket.
According to the release, the Radisson Blu at Downtown Anaheim, expected to be completed in mid-to-late 2020, will be one of the few four-star offerings available outside of the Disneyland Park to help to serve the submarket’s 28 million annual visitors, who spend more than $12 billion in the area each year. The new hotel will focus on family-friendly amenities including “generous-sized” suites with bunk beds in nearly half of the guestrooms. Also planned are a ground-floor swimming pool with food and beverage options; a rooftop pool deck offering unobstructed views of Disneyland’s nightly firework show and surrounding areas; and an outdoor rooftop restaurant and bar.
The ground floor will feature a three-meal restaurant and lounge next to a more family-focused pool area including child-based activities and cabanas, the statement says. A coffee shop, fitness center, gift shop, two boardrooms, and a 353-stall parking garage are also planned.
Radisson Blu Anaheim will be located near the Anaheim Resort district on I-5, within walking distance to Disneyland resort’s main entrance and the soon-to-be open Star Wars Theme Park. The release says a ceremonial groundbreaking will be held on Friday, Nov. 30.
The release also says GSP’s principal/managing director Malcolm Davies and VP Zachary Streit, along with other members of the Davies Group in Los Angeles, secured the loan on behalf of BPM, a national commercial real estate owner and developer. It also says the construction loan was provided by 3650 REIT, a national commercial real estate portfolio lender led by co-founders Jonathan Roth, Toby Cobb, and Justin Kennedy. The property is being designed by GBD Architects, and Swinerton Builders will serve as general contractor.
GSP’s Davies is quoted in the release as saying, “This is one of the most well-located development sites in Orange County.”
Radisson Blu is an upscale hotel brand with nearly 300 hotels spread across six continents, according to the statement, and GSP’s Streit adds that the Anaheim Radisson Blu will be only the fourth of its kind in the United States. Focused on major cities, key airport gateways, and leisure destinations, the brand currently has more than 12,900 rooms under development.
GSP also reports that the Anaheim market has benefitted from increasing hotel occupancy for the past several years — up from 78 percent in 2012 to 85 percent in 2017. Tourism in the city has posted consecutive growth for five years, setting a new city record each year. In 2017, the city welcomed 24.2 million visitors, a 5 percent increase over the 23 million in 2016.