In financing the Boca Raton Resort & Club deal, MSD Partners put in $297.9 million in equity and obtained a $600 million interest-only loan with a floating rate and a two-year term, the Fitch report states.
The Dell-owned private equity firm used the 1,047-room resort, which operates under the Waldorf Astoria banner, and the Premier Club as collateral, and intends to invest another $75 million in renovations, amenity package upgrades and activating public spaces.
Following a site visit in May, Fitch analysts rated the Boca Raton Resort & Club A - -. However, the ratings agency found that the iconic hotel, originally built in 1926, doesn't measure up against other competing luxury resorts. In comparing the Boca Raton Resort & Club to The Breakers in Palm Beach, PGA National in Palm Beach Gardens, Eau Palm Beach in Manalapan and Trump National Doral Miami, among five other resorts, Fitch found that the current daily rate of $311 of Dell's latest acquisition averages about $365 less than its rivals.
The Boca Raton Resort & Club's revenue per available room, a hotel industry standard metric, was $197 compared to $250 at competing hotels. Food and beverage revenue, at $83 million, topped the $71 million in room revenue in 2018, Fitch reported.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Billionaire Advice For 2019 College Grads: Robert F. Smith, Oprah Winfrey, Michael Dell And MoreMorehouse College commencement speaker Robert F. Smith announced he was paying off the student debt for the entire class. While no other billionaires could top that speech, a handful of others, from Oprah Winfrey to Mike Bloomberg, also weighed in.
Read more »
Paraplegic sues Michael Avenatti for siphoning away $4 million settlementMichael Avenatti, the lawyer who represented porn star Stormy Daniels in lawsuit...
Read more »
Carnival Cruise To Pay $20 Million After Admitting To Dumping Plastic Waste In The BahamasIn a long history of plastic waste and oil dumping, Carnival Corporation, the largest cruise company in the world, admitted its subsidiary dumped plastic overboard in the Bahamas.
Read more »
Report: Durant views staying with Warriors as 'last resort'Exercising his option to stay with the Golden State Warriors probably 'is t...
Read more »
Bottega Veneta Resort 2020 Fashion ShowThe complete Bottega Veneta Resort 2020 fashion show now on Vogue Runway.
Read more »
FBI investigating three deaths at same Dominican Republic resort, more tourist deaths reportedMore reports of apparently mysterious deaths in the Dominican Republic have surfaced since three people died at Bahia Principe resorts in May.
Read more »