LEND Lease today has reached financial close on the third phase of the US Department of the Army’s Privatisation of Army Lodging program.
The total construction value for the third phase is $US367 million (circa $A352 million). A combined refinancing package of $US465 million (circa $A450 million) in project debt across all three phases has also been secured.
The Group C project includes approximately 3,800 hotel rooms that will be built or renovated on 18 military installations throughout the United States. Lend Lease is the asset manager, developer and design builder for the entire lodging portfolio. InterContinental Hotels Group (IHG) is the PAL hotel operator.
CEO Steve McCann said the collaboration with the US Army demonstrates Lend Lease’s long-term commitment to privatised partnerships like PAL.
“In total, across all three phases, the PAL program will result in the development and/or renovation of more than 11,600 hotel rooms across 39 Military installations, cementing Lend Lease’s platform in the sector.” McCann concluded.
Property Review
