JLL’s Capital Markets group announced last month that it has arranged $585 million in refinancing for The Ritz-Carlton Paradise Valley, The Ritz Carlton Residences, and The Palmeraie in Paradise Valley.
JLL worked on behalf of the borrower, Five Star Development, in securing the loan with Madison Realty Capital. With 80% of construction already completed, the loan will be used to finish The Ritz-Carlton Paradise Valley, The Ritz Carlton Residences, and The Palmeraie, a mixed-use, ultra-luxury retail, dining and residential development.
Spanning 122 acres on the border of Scottsdale and Paradise Valley, the state’s wealthiest city, The Palmeraie is one of the most-anticipated experiential shopping, dining, and living destinations in North America. At the heart of the community is a 215-room Ritz-Carlton resort that will be surrounded by 80 single-level Ritz-Carlton Residences Villas, which are 100% sold, and 32 single-family Ritz-Carlton-branded and serviced Estate Homes. The retail component is approximately 160,000 square feet of high-end, mixed-use space located on 22 acres at the corner of Scottsdale and Indian Bend roads.
The Palmeraie will also incorporate a variety of dining destinations led by celebrated local and international chefs. FENDI Private Residences will open its first ground-up residential enclave in North America at The Palmeraie with a boutique collection of 52 elegantly crafted residences with five penthouses.
The JLL Capital Markets team representing the borrower was led by Managing Director Bryan Clark, Director Olga Walsh, and Associate Daniel Pinkus.
“Madison Realty Capital’s significant experience with branded hotel residences and deep understanding of the hospitality market sets their team apart,” Clark says. “We were pleased to work with them to deliver tailored financing for a hospitality and luxury retail project that will set a new standard in Paradise Valley.”
Managing Principal and Co-Founder of Madison Realty Capital Josh Zegen says, “We are pleased to provide a flexible financing solution for Five Star Development, who has significant experience developing luxury properties in the southwestern United States. This is one of the most impressive undertakings of a luxury master-planned community on the West Coast. Five Star Development has completely presold each of the masterfully designed Villas and nearly half of the Estate Homes. The Ritz-Carlton is one of the world’s most iconic luxury brands and this development is catered for the Scottsdale market, which is consistently ranked as one of the best places to live in the country.”