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Peachtree Group thrives amid debt market dislocation, anticipates deploying $1.0b. in real estate credit investments

AC Hotel Sunnyvale Moffett Park and TETRA Hotel, Autograph Collection
AC Hotel Sunnyvale Moffett Park and TETRA Hotel, Autograph Collection

Originates a $102.9 million bridge loan, marking a significant milestone in the firm’s history.

ATLANTA – Peachtree Group, a diversified commercial real estate investment firm, announced it has closed approximately $660 million in credit investments since Dec. 1, 2023, with an additional $350 million anticipated closing over the next 30 to 45 days.

The credit investments primarily encompass originations for hotels, multifamily, industrial and student housing.

In February, Peachtree closed one of the largest individual credit transactions in the firm’s history with a $102.9 million three-year loan to recapitalize a 350‐room Marriott dual-brand AC Hotel Sunnyvale Moffett Park and TETRA Hotel, Autograph Collection in Sunnyvale, Calif.

“We are witnessing heightened activity in response to the anticipation of sustained elevated interest rates and continued reductions in bank exposure. The pressing need to refinance maturing debt, estimated at $2.8 trillion in U.S. commercial real estate debt by the end of 2028, is a growing concern. Commercial real estate stakeholders are grappling with the challenges of increased capital costs and constrained liquidity, particularly in securing capital for acquisitions, recapitalizations and development initiatives,” said Greg Friedman, Peachtree Group’s managing principal and CEO.

Peachtree Group Credit, formerly Stonehill, ranked as the 8th largest U.S. commercial real estate hotel lender by the Mortgage Bankers Association in its last loan origination rankings. As a direct commercial real estate lender, it offers permanent loans, bridge loans, mezzanine loans, commercial property-asset clean energy (CPACE) financing and preferred equity investments across all commercial real estate sectors, with its origins in the hospitality industry.

Other notable credit transactions closed over the past 90 days:

  • $40.8 million first mortgage loan for the construction of a dual-branded Residence Inn and Home2 Suites in Montgomery, Ala.
  • $46.0 million in Commercial Property Assessed Clean Energy (“CPACE”) financing for the Thompson Hotel in Palm Springs, Calif.
  • $36.2 million first mortgage loan for Courtyard by Marriott in Chevy Chase, Md.
  • $40.6 million first mortgage loan for Home2 Suites in Charlotte, N.C.
  • $34.5 million first mortgage loan for a multifamily complex in Gainesville, Fla.
  • $17.5 million first mortgage loan for student housing in Athens, Ga.
Vicky Karantzavelou
Co-Founder & Chief Editor - TravelDailyNews Media Network | Website

Vicky is the co-founder of TravelDailyNews Media Network where she is the Editor-in Chief. She is also responsible for the daily operation and the financial policy. She holds a Bachelor's degree in Tourism Business Administration from the Technical University of Athens and a Master in Business Administration (MBA) from the University of Wales.

She has many years of both academic and industrial experience within the travel industry. She has written/edited numerous articles in various tourism magazines.

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