Friedman Properties Lands $29M Construction Loan For Mysterious River North Hotel
Little is known about the type of hotel Friedman Properties and White Lodging Services want to build at LaSalle Street and Grand Avenue in River North, but the sponsorship is strong enough to have landed a $28.7M construction loan for the project.
The Friedman-White Lodging JV has been mum about the development, but it's widely rumored that it will become a Moxy hotel, a new boutique brand by Marriott. Friedman secured the loan from TCF National Bank, according to Crain's. Marriott promoted plans for a Chicago Moxy on its website until a couple of days ago, and the Friedman-White Lodging JV has dubbed the site the "Choxy Hotel."
Friedman and White Lodging are familiar dance partners. The two firms built a three-hotel development in River North five years ago, and pocketed $21M by refinancing the assets last month. The planned hotel will add to an already packed hotel pipeline that will see over 2,000 rooms delivered this year, adding to concerns that a glut of inventory is softening the hotel market. Friedman also wants to build a 31-story hotel next to the historic Reid-Murdoch building and unveiled plans for how it would look last May. [Crain's]
