Mesa West & Blackstone Provide Financing for Four Seasons Austin

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. August 05, 2010

August 4, 2010 - Mesa West Capital has provided Lodging Capital Partners and Syndicated Equities Group with a $56 million first mortgage loan to refinance their existing mortgage on the Four Seasons Austin. The financing also included a mezzanine loan from Blackstone Real Estate Debt Strategies.

Overlooking Lady Bird Lake, in Austin, Texas, the Four Seasons is located in the heart of the central business district adjacent to the Capitol and University of Texas. After acquiring the landmark hotel in 2006, the ownership group completed a $11.4 million renovation that included an upgrade of the guestrooms, a new 5,500 square-foot luxury spa, and a redesign of the hotel's fine dining restaurant.

"Despite the uncertainty surrounding the economy, this property continues to build its market share and reaffirm its status as the premier hotel in Austin," said Mesa West Capital's Director Raphael Fishbach, who originated the loan and heads the company's New York City office. "Knowing the strength of both the property and the sponsorship, we looked to win this assignment by providing speed and certainty of execution in a challenging market for hotel financing."

The financing was arranged by Mark Gordon and Jared Kelso of Cushman & Wakefield Sonnenblick-Goldman and Elizabeth Kogen of JMB Financial Advisors.

Mesa West Capital provided the financing through its $614.5 million Mesa West Real Estate Income Fund II, LP, which closed in June 2010. Currently Mesa West has originated more than $160 million in financings through Fund II. Mesa West's first fund originated $1.5 billion in 83 financings.

Lodging Capital Partners is an owner and asset manager of luxury hotels and resorts throughout the United States, Mexico, Canada and the Caribbean. Since its founding in 2005, Lodging Capital Partners has invested in a portfolio with a valuation in excess of $1.3 billion. Syndicated Equities Group is a real estate investment firm that has acted as a principal or managing partner in more than $1 billion of commercial property transactions nationwide.

About Mesa West Capital, LLC
Mesa West Capital is a leading commercial real estate capital source with offices in Los Angeles and New York providing flexible and reliable capital for value-added and stabilized commercial real estate projects. Mesa West Capital is a non-recourse portfolio lender with a capital base over $1.5 billion that has continued to provide financing throughout the current credit market turmoil. Mesa West Capital is actively seeking investment and financing opportunities for all property types in the Western United States and gateway cities on the East Coast.

About The Blackstone Group
Blackstone (NYSE: BX) is one of the world's leading investment and advisory firms. Blackstone seeks to create positive economic impact and long-term value for its investors, the companies it invests in, the companies it advises and the broader global economy. The firm accomplishes this through the commitment of its extraordinary people and flexible capital. Blackstone's alternative asset management businesses include the management of private equity funds, real estate funds, funds of funds, credit-oriented funds and closed-end mutual funds. The Blackstone Group also provides various financial advisory services, including financial and strategic advisory, restructuring and reorganization advisory and fund placement services. Further information is available at www.blackstone.com.