Goldman Sachs in $1.8 Billion Mortgage and Mezzanine Loan Origination
November 13, 2007
Cleary Gottlieb represented Goldman Sachs Mortgage Company in its origination of mortgage and mezzanine loans in the aggregate amount of $1,800,000,000 to affiliates of the Whitehall Street Global Real Estate Limited Partnership 2007. The variable rate loans, which were funded on October 25, financed the acquisition of Equity Inns, Inc., a publicly traded hotel real estate investment trust (REIT), by the Whitehall Street Global Real Estate Limited Partnership 2007 and certain of its sister funds, and is secured by first lien mortgages on a portfolio of 111 hotels under various franchise names in 34 states, as well as pledges of indirect equity interests in an additional 24 hotels.
Goldman Sachs Mortgage Company is the commercial mortgage lending affiliate of Goldman Sachs & Co. Whitehall Street Global Real Estate Limited Partnership 2007 is one of the Whitehall Street Real Estate Funds, a series of investment funds raised and sponsored by Goldman Sachs & Co. for purposes of investing in commercial, multifamily, hospitality and recreational property around the world. Prior to its acquisition by Whitehall, Equity Inns, Inc. was a Memphis, Tennessee-based REIT and was the third largest publicly traded hotel REIT.