UK: edyn has secured an additional £105 million in debt funding from Blackstone Mortgage Trust and KSL Capital Partners’ European Capital Solutions platform (KSL ECS).
The new funding round expands on the £195 million multi-asset debt facility agreed last year with Blackstone and KSL, bringing total funding through the facility to £300 million to date. It was originally established to support the acquisition and development of five new Locke and Cove projects across Europe, and this latest deal will further support edyn’s expansion strategy.
The new funding will directly support the development of two new properties in Zurich and Lisbon.
Last month, edyn acquired the Hotel Ascot in Zurich, a six-storey, 3,700 square-metre property to be converted to a Locke, and set to open in 2023.
The Lisbon development is the conversion of a historic Portuguese convent, located close to Avenida da Liberdade in the city centre. Scheduled to open in 2023, the property will be the largest Locke to date, consisting of 369 keys, with amenities that include two destination restaurants, three cocktail bars, café and co-working space, swimming pool, courtyards, gym and meeting rooms.
Merzak Kaddour, investment director at edyn, said: “We are excited to grow our relationship with Blackstone and KSL ECS, who have been supportive partners as we focus on driving forward our ambitious strategy for edyn and its brands. Both bring significant experience and sector expertise, along with deep knowledge of the European market. We look forward to building our partnership with them in the years to come.”
Steve Plavin, senior managing director, Blackstone Real Estate Debt Strategies, said: “We are delighted to finance edyn in its brand extension across Europe. With KSL as a great lending partner, we look forward to seeing edyn enter these key cities.”
Hal Shaw, partner and head of European capital solutions at KSL, said: “We are very pleased to serve as a long-term capital provider to edyn as it continues to execute its growth strategy in Europe, and to partner once again with Blackstone to provide a financing solution for the acquisition and transformation of these two assets.”
