Gencom and GD Holdings Secure $125M Refinancing for St. Regis Chicago

A joint venture led by Gencom and GD Holdings has secured a $125 million refinancing package for the 192-room St. Regis Chicago. Arranged by Banco Inbursa, the new loan replaces the original $76 million acquisition financing provided by Varde Partners when the partnership purchased the luxury property in May 2023.

Who provided the new debt for the property?

Banco Inbursa arranged the $125 million refinancing package for the hotel owners. [2] According to Hotels Magazine, this transaction represents the fourth financing agreement that Gencom has completed with Banco Inbursa. [2] The legal counsel for the transaction involved Stearns Weaver Miller representing Gencom and GD Holdings, while Gibson Dunn advised Banco Inbursa. [2] Alessandro Colantonio, chief investment officer of Gencom, stated that the deal represents an expansion of their partnership with the bank as they access global capital for acquisitions and refinancings. [2]

What is the history of the ownership joint venture?

The joint venture between Gencom and GD Holdings acquired the St. Regis Chicago in May 2023. [2] Lodging Magazine reported that the new $125 million loan directly replaces the $76 million in original acquisition financing. [1] The original acquisition debt was provided by Varde Partners. [2] Karim Alibhai, founder and principal of Gencom, noted that the property was the first luxury hotel to open in downtown Chicago in over a decade. [2] Abraham Marcos, principal of GD Holdings, stated that the refinancing allows the ownership to continue executing their business plan while unlocking the property's long-term potential. [2]

Where does the hotel sit within the mixed-use development?

The St. Regis Chicago occupies the first 11 floors of a larger three-tower mixed-use development located in Chicago’s Lakeshore East Loop neighborhood. [2] The tallest of the three towers rises to 101 stories. [2] This height makes the structure the third-tallest building in Chicago. [2]

What amenities and event spaces are available to guests?

The 192-room hotel contains approximately 12,000 square feet of meeting and event space. [2] This includes the Astor Ballroom, which measures 5,000 square feet. [2] Beyond the event spaces, the property features more than 21,000 square feet dedicated to guest amenities. [2] These facilities include the St. Regis Spa, a fitness center, an indoor pool, and a rooftop terrace. [2]

Who operates the dining venues at the property?

The hotel houses five distinct dining venues that collectively span approximately 38,000 square feet. [2] These restaurants and bars offer a total of 580 seats for guests and locals. [2] The venues include Miru and Tre Dita, both of which are operated by Lettuce Entertain You Enterprises. [2]