A high-profile mixed-use redevelopment in downtown San Antonio will soon break ground on a Curio Collection by Hilton hotel after a multimillion-dollar construction loan was secured.
San Antonio-based Zachry Hospitality has obtained a $48.475 million construction loan, allowing the company to go forward with its plans to build a nationally branded hotel at the Hemisfair Park in downtown San Antonio.
Construction on the hotel at the southeast corner of East Market Street and South Alamo Street is scheduled to start by the end of the year.
CBRE worked with Zachry Hospitality to secure the loan, which was backed by senior construction lender Interbank. Nuveen Green Capital is also attached to the loan as part of commercial property assessed clean energy, or C-PACE, financing.
C-PACE loans are available to commercial property owners who seek financing for projects with energy efficiency, water conservation and renewable energy concepts.
Zachry Hospitality Vice President of Public and Government Affairs Tara Snowden said the Curio Collection property, once operational, would be “the most energy, water, and environmentally conscious property in downtown San Antonio.”
Details of the hotel’s green initiatives were not disclosed.
Zachry Hospitality is building the hotel two blocks south of the Alamo. The Curio Collection by Hilton hotel will feature 200 hotel rooms, on-site restaurant, café space, rooftop bar, an underground speakeasy, terrace pool with cabanas, spa, fitness center, retail outlets, public garden, ballroom and meeting spaces.
“Despite market uncertainty facing hospitality from the COVID-19 pandemic, interest rate increases, and inflationary pressures on construction costs, Zachry maintained its vision and commitment to this project,” Frank Piasta, a vice president with CBRE, said in a statement. “Interbank and NGC partnered to create an efficient long-term financing solution for the construction and stabilization of this iconic asset.”
The Curio hotel property will be one of the first projects at the Hemisfair redevelopment, which is also expected to include a mixed-use office building, market, parks, restaurants and retail shops.
The Hemisfair site hosted the 1968 World’s Fair.