Seven Hills Realty Trust announced it has closed two new first mortgage loan investments totaling $37 million, expanding its portfolio of loans secured by commercial real estate assets.
The loans include financing for a grocery-anchored retail center in California and refinancing for a newly built extended-stay hotel in Arizona. Both loans carry floating interest rates and include three-year initial terms with two one-year extension options, subject to borrower conditions.
The first transaction is a $19.5 million loan used to finance the acquisition of Town Center Plaza, a grocery-anchored retail property located in Palm Desert, California. The center is positioned in a well-established retail corridor within the Coachella Valley and is anchored by nationally recognized retailers. The transaction was brought to Seven Hills Realty Trust’s manager, Tremont Realty Capital, by Palmer Capital on behalf of the sponsor, United Growth.
The second transaction is a $17.5 million loan to refinance SpringHill Suites Scottsdale, a 117-room extended-stay hotel in Scottsdale, Arizona. Built in 2023, the Marriott-branded property sits within the Papago Plaza development and serves a submarket supported by strong business and leisure travel demand. The transaction was sourced by JLL on behalf of the sponsor, PEG Companies, and brought to Tremont Realty Capital.
Seven Hills Realty Trust originates and invests in first mortgage loans secured by middle-market transitional commercial real estate. The company is managed by Tremont Realty Capital, an affiliate of The RMR Group, an alternative asset management firm with more than $37 billion in assets under management and decades of experience investing in and operating commercial real estate.
KEY QUOTE:
“These investments expand our portfolio with two first mortgage loans secured by retail and hospitality assets in established markets. Town Center Plaza is anchored by nationally recognized tenants within the well-trafficked Coachella Valley corridor, and the SpringHill Suites is a newly constructed, Marriott-branded hotel located in a growing Scottsdale submarket supported by stable lodging demand. In each case, we are lending alongside experienced sponsors with meaningful capital invested in their projects, and the transactions are consistent with our underwriting standards.”
Tom Lorenzini, President And Chief Investment Officer, Seven Hills Realty Trust
