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UK: Owner and operator Shiva Hotels has completed a £300 million refinancing of its luxury Marylebone hotel The BoTree with BlueWater Capital and NorthWall Capital.
The deal marks Shiva’s first transaction with BlueWater which provided a £170 million senior loan, and NorthWall which provided a £140 million secured facility.
It refinances an existing loan with Cale Street Real Estate Partners and Crosstree Investments.
In October 2024, the 199-room property was reportedly brought to market due to unsuccessful refinancing attempts of £316.5 million. The finance would help to repay an outstanding debt of £275 million, with a senior loan from Cale Street and a junior facility from Crosstree.
As a result of the new refinancing from BlueWater and NorthWall, a potential sale is no longer an option.
Rishi Sachdev, CEO of Shiva Hotels, said: “We are thrilled to be establishing two new blue-chip lending partnerships, which will enable us to continue our long-term strategy for The BoTree and our mission of bringing ‘conscious luxury’ to the market.
“The BoTree’s location and future potential, coupled with the hotel sector’s continued growth, saw us generate interest from a deep pool of funders keen to support us on this transaction. We have remained patient however, and have chosen two like-minded counterparties with the track record and expertise to support us on the next stage of our journey,” he added.
Alexander Garnier, founding partner and portfolio manager at NorthWall, said: “We are delighted to partner with Shiva Hotels and BlueWater Capital on this landmark transaction. This partnership underscores NorthWall’s ability to deliver tailored capital solutions with speed and certainty. This transaction aligns with our strategy to finance top-tier businesses and assets, further reinforcing NorthWall’s leadership in the alternative credit market, amid increasing opportunities as banks scale back in private credit.”
