Merchants Hospitality Close on $42 Million Financing for Cachet Hotel
Industry: Real Estate
Hotel features the Playboy Club and the soon to be constructed Glass Cube Billboard and Observation Deck
New York, NY (PRUnderground) June 12th, 2019
Merchants Hospitality and Roche Enterprises have successfully closed on a $42 million mortgage financing on their Cachet Hotel https://cachethotels.com/boutique-newyork/ at Hudson Yards North in Manhattan.
The $42 million financing, provided by Taconic Capital Advisors, replaces the construction financing that Ownership utilized to completely renovate the hotel and retail spaces over the last 12 months. The renovation includes the newly created 105 room and suite lifestyle hotel Cachet Boutique, featuring three sophisticated and dramatic outdoor spaces inclusive of the Sky Deck and Retreat where guests can enjoy cocktails al fresco under the stars, and an indoor/outdoor private event and conference space. The property also includes the iconic Playboy Supper Club https://playboyclubnyc.com/ which features an upscale bistro restaurant, as well as an elegant bar and lounge area. Treadwell Park, NYC’s best craft beer garden and café is located at the street level of the Cachet Hotel. Treadwell Park, one Merchants Hospitality’s signature brands, has become the go-to afterwork spot for cocktails, dinner and sports viewing. http://treadwellpark.com/west/
Cachet Hotel features one of the most technologically advanced private event spaces in Manhattan known as the BlackBox, which has featured performers such as Robin Thicke and T.I. as well as hosted such high-profile events as the MET Gala After Party, and FanDuel’s annual Fantasy Football Championship viewing party. The dynamic and newly created event space continues to be utilized for both intimate social gatherings, large corporate events, weddings and concert performances.
In addition to the financing, Merchants Hospitality and Roche Enterprises have funded over $45 million in equity into the Cachet Hotel to create one of the most dynamic boutique hotels in the New York City offering a truly encapsulated experience from spacious rooms, to dynamic entertainment to world-class dining. Reimagining every aspect of the property to appeal to the culturally curious traveler, the property’s lobby and lounge features a rotating art exhibition highlighted by a 6-foot LED screen showcasing the work of emerging video artist Jess Johnson. The fully renovated loft-like rooms feature custom-crafted furnishings by designer Jay Godfrey and spacious stone and glass bathrooms. The Playboy Club features a $12 million renovation that includes a sophisticated dining and cocktail experience. The adjacent BlackBox event space has functioned as an extension to the Playboy Club hosting such iconic celebrity events as the recent MET Gala after party with Gwen Stefani and Katy Perry and the Moschino Fashion Week event which attracted the likes of Cardi B and Paris Jackson.
Merchants Hospitality and Roche Enterprises are in the process of building one of New York’s largest billboard and observation decks in NYC on the roof of the hotel, known as the Glass Cube, which will be one of the most unique rooftop advertising opportunities in New York City where advertisers will benefit from the hundreds of
thousands pedestrian foot traffic and drivers making their way to such West Side destinations as Hudson Yards and Javits Center.
The Merchants and Roche partnership is the same Ownership Group that recently acquired and redeveloped the Z Hotel in Long Island City which features 100 Hotel Rooms facing Manhattan, and the iconic Z Hotel Roof top with 360-degree views of Manhattan, the East River and LIC.
Ownership was advised on the transaction by Robert Verrone and Christopher Herron of Iron Hound Management
About Merchants Hospitality, Inc.
Founded in 1988, Merchants Hospitality, and its Principals, have owned, operated, and developed some of the most luxurious destinations in the Country and Caribbean. Properties have included Hotels, Residential Condominiums, Office Buildings and Restaurants including 485 Fifth Avenue, currently home to the Hyatt Andaz, the Z Hotel in Long Island City, 260 Park Avenue South Luxury Condominium, Aruba Starwood Hotel, Resort & Time Share, NYC’s famous Pier 15 at South Street Seaport, 350 Madison Avenue, 230 Park Avenue, 237 Park Avenue and 1440 Broadway to name a few. Merchants also owns 18 premier restaurants in NYC including Philippe Chow, off Madison Avenue, as well as the Philippe Chow at the Dream Hotel. Merchants secured a prime residential property which is now being developed into a retail and luxury senior living facility consisting of 219,242 square feet located in the Upper East Side of Manhattan. Merchants Principals Abraham Merchant, Richard Cohn and Adam Hochfelder have been industry leaders in the real estate and hospitality world for over 30 years and have been honored by multiple charities across the country.
About Roche Enterprises
Roche Enterprises, Ltd. is a dynamic, global company that manages and invests in more than 40 businesses including Cachet Hotel Group, Oak Lawn Marketing, and Acorn International. Led by entrepreneur, civic leader, and philanthropist Robert W. Roche, the company’s businesses have generated more than $1 billion in enterprise value.
About Iron Hound Management
Iron Hound Management is a real estate investment company specializing in commercial debt and equity transactions. Founded in 2009 by Robert Verrone, the firm has completed more than $10 billion in transactions. Iron Hound has completed nearly $10 billion in mortgage financing across the United States.