Peachtree Inks Debt on Florida Hotel Pool
Peachtree Group has provided a $150 million loan to replace debt on a package of hotels around Walt Disney World Resort.
Borrower Doradus Partners used the floating-rate proceeds to pay off an existing loan from Aareal Bank on the four properties, which total 997 rooms in Winter Garden, Fla. The properties are next to one another at 2111, 631, 341 and 411 Flagler Avenue in Flamingo Crossings Town Center, at the western edge of the famed theme park resort.
JLL arranged the debt, which closed on June 30 and has a three-year term followed by two one-year extension options.
In addition to paying off the prior loan, Huntsville, Ala.-based Doradus used proceeds to cover closing costs and to set aside reserves.
The hotels are a 223-room Residence Inn by Marriott, a 273-room Fairfield by Marriott Inn & Suites, a 272-room Home2 Suites by Hilton and a 229-room Homewood Suites by Hilton.
Doradus built them in 2020 and 2021, and each is the newest in its competitive set. The portfolio has a weighted average occupancy of just under 89% this year, which was pitched to lenders as evidence of strong post-pandemic demand for hotels in the area.
The hotels are 2 miles from Disney's Animal Kingdom and 4 miles from Disney's Hollywood Studios. In addition, each property has a Walt Disney World Gateway Hotel designation that provides access to branded materials and booking opportunities.
The hotels offer shuttle service to four Disney theme parks and have planning centers that assist with tickets, dining reservations and itinerary planning.
Flamingo Crossings Town Center is a master planned district with hotels, restaurants, retail space and entertainment.
The properties also are adjacent to Flamingo Crossings Village, a 120-acre residential community with more than 2,500 units that houses cast members and participants in Disney's college program.