Bain Capital and Smith Hill Capital’s US hospitality real estate lending partnership has refinanced a BLDG Management and Metrovest Equities-owned oceanfront resort in New York.
The private lending partnership has completed a $235m (€207m) refinancing for the Gurney’s Montauk Resort & Seawater Spa in Montauk.
The 158-key property is situated on a 2,000-foot private beach in Montauk. Gurney’s Montauk Resort & Seawater Spa’s accommodations include 109 guestrooms, 35 suites, eight beachfront cottages and six residences.
Brendan McCormick, managing principal at Smith Hill Capital, said: “Gurney’s Montauk represents the type of irreplaceable, generational asset that aligns perfectly with our investment strategy—anchored by strong market fundamentals, exceptional sponsorship and long-term value creation.
“Even in today’s uncertain capital markets, we continue actively deploying capital for high-conviction opportunities like this. We’re proud to partner with Bain Capital and support BLDG and Metrovest in the continued evolution of this iconic resort, which is uniquely positioned as a luxury destination in one of the most sought-after leisure markets in the country.”
David DesPrez, a partner at Bain Capital, said: “The Gurney’s Montauk loan exemplifies our strategic approach to commercial real estate lending.
“This transaction underscores our commitment to providing flexible financing solutions to high-quality borrowers and assets through an uncertain macroeconomic environment.”
Justin Kleinman, EVP and COO at BLDG Management, said: “Gurney’s Montauk is an exceptional and iconic property in a one-of-a-kind location with world-class amenities. This property is a premier resort destination in the Northeast and is an elite asset in our portfolio.”
Christopher Peck, senior managing director and co-head of the New York office, JLL, said: “Smith Hill Capital and Bain Capital proved to be outstanding lending partners on the Gurney’s project. The team’s expertise and collaborative approach were invaluable in financing this unique asset.
“They immediately recognised the exceptional value of this 20-acre resort in Montauk, and their flexible lending solutions perfectly aligned with the sponsors’ requirements.”
JLL represented the sponsors in the transaction.
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