FirstCaribbean International Bank has provided the senior debt component of a US$70M package of funding to an affiliate of Westmont Hospitality Group for the acquisition, renovation and expansion of the Fairmont Royal Pavilion Hotel in Barbados.
A FirstCaribbean release quotes Roger Best, manager, corporate finance and corporate banking hospitality industry specialist, as saying the transaction was significance to the bank, given its complex set of structuring, funding, and taxation and due diligence requirements.
“FirstCaribbean is pleased to have closed this complex acquisition financing for what many recognize as one of the premier hotels in Barbados and the region,” Best said. “With years of extensive experience as financing partner for similar properties across the region and our wide network of contacts, we are delighted to have been able to successfully close yet another important transaction.”
The recent closure of this deal marks Westmont Hospitality Group’s first major transaction in Barbados.
Westmont Hospitality Group is one of the world’s largest hospitality organizations, which owns and/or manages over 400 hotels in North America, Europe and Asia. The Group has formed strategic alliances with major financial institutions as well as many of the world’s largest hotel brands, including Hilton, Starwood, Intercontinental and Fairmont.
The Fairmont Royal Pavilion was originally built in the 1940s and was the first hotel on Barbados’ West Coast, which is also known as the island’s Platinum Coast. The AAA Four Diamond hotel has 75 rooms, three of which form part of the property’s villa dwelling.
With the recent acquisition, significant upgrades to the hotel and the surrounding property are anticipated.