Nuveen Green Capital provides C-PACE financing for Sandcastle Hotel renovation
Rehoboth Beach, DE. January 25, 2022 – Nuveen Green Capital, the nation’s leading C-PACE capital provider dedicated to funding energy performance-enhancing commercial real estate projects, has provided $6,072,634 in C-PACE financing, arranged by Marcus & Millichap Capital Corp., for part of the acquisition and gut-rehab of the Sandcastle Motel for Developer Harvey Hanna & Associates, Inc. The Property will undergo a complete renovation of common areas, upgrades to all finishes and fixtures in existing guest rooms, the creation of six additional rooms, and a fully re-imagined ground floor retail, inclusive of public restaurant and bar. The proceeds will be used to transform the Sandcastle Hotel from a 60-key seasonal motel to a 66-key year-round Hilton Tapestry.
Rehoboth Beach, located in Sussex County, is a short 2-hour drive from major metropolitan areas including Philadelphia, Baltimore, Washington D.C., New Jersey, and New York City. Additionally, approximately 1/4 of the United States population is within an 8-hour drive of Sussex County, making it a well-positioned beach town/tourism destination. The rebranding of the Sandcastle Motel into a Hilton Tapestry, an internationally recognized brand, will attract year-round tourism throughout the non-beach focused off-seasons. Further, the Developer has a strong relationship with the Hilton Brand, having worked with them in the past on projects in the Delaware and Maryland region, such as the Hyatt Place in Dewey Beach, DE, the Hyatt House in Lewes, DE, and the Hyatt Place in Kent Narrows, MD.
About the DE-PACE Program:
The Delaware Voluntary Clean Energy Financing Program, created in 2018 by the Delaware Energy Act, designates the Delaware Sustainable Energy Utility (DESEU) as the statewide program administrator under its Energize Delaware trade name. Nationwide, such programs are generally known as “Commercial Property Assessed Clean Energy Programs.” In Delaware it will be referred to as Delaware C-PACE or simply C-PACE. The DE-PACE program offers C-PACE financing to commercial property owners throughout Kent, New Castle, and Sussex Counties. For more information, visit https://www.delawarecpace.org/counties/counties-how-it-works/
About Nuveen Green Capital
Nuveen Green Capital is a national leader in sustainable commercial real estate financing solutions and an affiliate of Nuveen, the investment manager of TIAA responsible for $1.2 trillion in assets under management as of September 30, 2021. Established in 2015 by the C-PACE industry’s founders and standard-setters, Nuveen Green Capital is a private capital provider dedicated to making sustainability a smart financial decision for commercial real estate owners who seek to improve the energy, water and resiliency performance of their property. For more information, visit www.nuveen.com/greencapital
About Harvey Hanna & Associates, Inc:
Harvey Hanna & Associates, Inc., the Sponsor, is a first time borrower with Nuveen Green Capital. The Sponsor has successfully built and managed numerous industrial parks, business campuses, and retail centers throughout the Mid-Atlantic and has developed in excess of 6 million square feet of strategically located properties (from 3,000 SF temporary facilities to 1.0mm SF permanent locations). The Sponsor also has extensive experience in hospitality repositioning’s, having successfully developed the Hyatt Place in Dewey Beach, DE, as well as the Hyatt House in Lewes, DE and the Hyatt Place in Kent Narrows, MD. For more information, please visit https://harveyhanna.com/
About Marcus and Millichap Capital Corp.
Marcus & Millichap Capital Corp. is a leading firm specializing in commercial real estate sales, financing, research and advisory services. MMCC has the largest team of investment specialists in the industry, dedicated to meeting the diverse needs of private and major/institutional investors throughout the United States and Canada or more information, please visit https://www.marcusmillichap.com/