Investment Highlights
St. Regis Hotel
Washington, D.C.
In August, 2005, Canyon Capital Realty Advisors joined with Aareal Bank AG of Wiesbaden, Germany to provide loans to a joint venture between Brickman Associates and New Valley Corporation to purchase Washington, D.C.'s historic St. Regis Hotel.
Canyon provided a $5 million mezzanine loan to help complete the purchase of the 193-room luxury hotel from Starwood Hotels & Resorts Worldwide, Inc., and will lend $10 million toward the renovation of the Italian Renaissance-style building. Aareal Bank AG, a leading international property bank, also facilitated the purchase with a $35 million senior loan.
Since opening three blocks from the White House in 1926, the hotel has hosted presidents, royalty and other international dignitaries. It is listed on the National Register of Historic Places. The St. Regis's new owner, 16th & K Hotel LLC, is a joint venture between Brickman Associates and New Valley Corporation. Brickman, based in Manhattan, is a real estate operating and investment company that owns hospitality, office and residential properties throughout the United States. New Valley, with headquarters in Miami, is currently engaged in the real estate business and is seeking to acquire additional operating companies and real estate properties. New Valley has a 50% ownership interest in Douglas Elliman Realty LLC, which operates the largest residential real estate brokerage company in the New York City area.
