Heritage Attracts Hilton Hotel Refi in Cupertino

Heil & Associates and Terracommercial have refinanced a 164-room hotel in Cupertino, California. This financing attraction speaks to both the heritage and the operating history of the hotel, according to CBRE, which arranged the deal on behalf of ownership.

The hotel operates under a long-term Hilton Garden Inn franchise agreement and is fully integrated with the Hilton Honors loyalty program.

Mike Walker, executive vice president; Brad Zampa, executive vice president; Andy Gross, vice president and Pierson Souza, vice president of CBRE's Debt & Structured Finance team, arranged the financing.

Heil & Associates and Terracommercial have owned and operated the Hilton Garden Inn Cupertino since acquiring the property in 2007. Together, the partners bring a longstanding track record of hospitality ownership, investment and asset management across multiple real estate cycles.

Walker told GlobeSt.com that the existing loan was maturing and CBRE was hired to refinance it.

"The property's strong operating history, experienced ownership group as well as the hotel's location in a premier technology-driven market and its concentration of technology employment made it an attractive financing opportunity," Walker said.

Built in 1998, the five-story hotel comprises 164 guest rooms totaling approximately 100,110 square feet on a 2.71-acre site. Amenities include the Pavilion Café serving breakfast and dinner, a 24-hour Pavilion Pantry market, outdoor pool and spa, fitness center, guest laundry facilities, 1,650 square feet of flexible meeting space, complimentary parking and weekday shuttle service within a three-mile radius.

Importantly, the San Francisco Bay Area is expected to benefit from growth in business travel and convention-related demand, supporting lodging fundamentals across the region, according to CBRE research.