Lending solutions, reliably executed.

Facilitate your business plan with creative financing solutions from a direct commercial real estate lender.

Financing options, made flexible.

$4.3 billion

in originations

290

origination transactions

Bridge

Amount
$10MM - $100MM
Amortization
Interest Only
Loan To Value
Up to 80%
Loan To Cost
Up to 70%
Term
1 to 5 years
Purpose
Acquisitions, Recapitalization, Construction Takeout, PIP/Renovation, Conversions, Gap Financing, DIP/Distress/Rescue Capital, Pre-Development
Guarantees
Recourse and Non-Recourse

Construction

Amount
$15MM - $100MM
Amortization
Interest only
Loan To Value
Up to 75%
Loan To Cost
Up to 75%
Term
2 to 5 years
Purpose
Ground Up Construction, Acquisition & Horizontal Dev, NNN
Guarantees
Recourse and Non-Recourse

Mezzanine

Amount
$3MM - $20MM
Amortization
Interest only or matched to senior
Loan To Value
Up to 85%
Loan To Cost
Up to 85%
Term
Matched to senior loan
Purpose
Acquisitions, Recapitalization, Construction Takeout, PIP/Renovation, Conversions, Gap Financing, DIP/Distress/Rescue Capital, Predevelopment
Guarantees
Recourse and Non-Recourse

Preferred Equity

Amount
$3MM - $20MM
Amortization
N/A
Loan To Value
Up to 95%
Loan To Cost
Up to 95%
Term
NA
Purpose
Acquisition Recapitalization, PIP/Renovation/Rescue Capital, CMBS, Loan Assumption, Partner Buyout
Guarantees
N/A

CPACE/Retro CPACE

Amount
$1MM - $100MM
Amortization
Up to 30 years
Loan To Value
Up to 35%
Loan To Cost
Up to 40%
Term
Up to 30 years
Purpose
New Construction, Value-Add, Retroactive
Guarantees
Non-recourse and flexible prepayment

Permanent

Amount
$10MM - $100MM
Amortization
Interest only
Loan To Value
Up to 65%
Loan To Cost
Up to 65%
Term
5 to 10 years
Purpose
Acquisitions and Refinances (other scenarios considered)
Guarantees
Recourse and Non-Recourse

Meet our
lending team.

Connect with Peachtree Group's team of lending professionals.

Sponsor testimonials

See what Peachtree Group’s sponsors have to say about their experiences with us.
"Peachtree Group understood our closing timeline, were extremely knowledgeable, and willing to get creative when needed. We’re looking forward to future deals with them."
Daniel Pinheiro
Chief Business Development Officer, Braintree Group
"Greg Friedman and Michael Harper were highly professional and sophisticated partners. The entire team resolved any issues efficiently. They are an outstanding lender."
Noel Epelboim
CEO - President, Epelboim
"Peachtree had faith in our track record and provided preferred equity that solved our capital needs. They were extremely knowledgeable about providing financing to grow our presence and portfolio."
Brad Honigfeld
CEO, Briad Group
"Peachtree Group understood our closing timeline, were extremely knowledgeable, and willing to get creative when needed. We’re looking forward to future deals with them."
Daniel Pinheiro
Chief Business Development Officer, Braintree Group
"Greg Friedman and Michael Harper were highly professional and sophisticated partners. The entire team resolved any issues efficiently. They are an outstanding lender."
Noel Epelboim
CEO - President, Epelboim
"Peachtree had faith in our track record and provided preferred equity that solved our capital needs. They were extremely knowledgeable about providing financing to grow our presence and portfolio."
Brad Honigfeld
CEO, Briad Group

Stay informed.

Read up on the latest news, trends, and analysis from our experts.
Press Release
5 min read

Debt Market Dislocation Creates $1 Billion Opportunity for Peachtree Group

Peachtree Group is thriving amid debt market dislocation, and anticipates deploying $1.0 billion in real estate credit investments within six months. ‍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 branded hotel in Sunnyvale, Calif.

ATLANTA (March 18, 2024) – Peachtree Group (“Peachtree”), 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.

The AC Hotel Sunnyvale Moffett Park

 

"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's credit division, 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.  

About Peachtree Group
Peachtree Group is a vertically integrated investment management firm specializing in identifying and capitalizing on opportunities in dislocated markets, anchored by commercial real estate. Today, we manage billions in capital across acquisitions, development, and lending, augmented by services designed to protect, support and grow our investments. For more information, visit www.peachtreegroup.com.

###

Contact:

CharlesTalbert

678-823-7683

ctalbert@peachtreegroup.com

Press Release
5 min read

New Full-Service Resort Now Underway in Gulf Shores, Alabama

DD partners, LLC, Peachtree Group and Woodbine Development Corporation join forces to develop 257-room beachfront destination.

GULF SHORES, ALA. (Nov. 3, 2023) – DD Partners, LLC of Birmingham, Alabama, and Marietta, Georgia, Peachtree Group of Atlanta and Woodbine Development Corporation of Dallas announced the development of Embassy Suites Gulf Shores, a full-service resort overlooking the Gulf of Mexico and its renowned white sand beaches – located in Alabama’s No. 1 tourism destination, the City of Gulf Shores.

Now underway, Embassy Suites Gulf Shores is a joint venture among the three firms. DD Partners and Woodbine are leading development and asset management efforts, and Peachtree will manage operations for the resort upon completion in summer 2025. The architect of record for the project is PFVS, and the contractor is Robins & Morton.

The eight-story property will have 257 all-suite beachfront guestrooms; a lobby bar and restaurant; a rooftop amenity terrace inclusive of a bar and grille, pool deck and an outdoor entertainment venue; and 13,620 square feet of enclosed meeting and pre-function space, including a 7,800-square-foot ballroom. The resort will also have a three-story parking garage and 7,618 square feet of leasable retail space that will include a Starbucks.

“The Gulf Shores region has sustained solid momentum among leisure travelers thanks to its natural beauty and many attractions, and this destination’s amenities are designed to contribute to that momentum. Also, given the success of local meetings and events, we believe Embassy Suites Gulf Shores will be a sought-after destination for those who are traveling for business and special events,” said Ron Durham, co-founder of DD Partners, a joint venture he formed with Ron Day.

Durham and Day have strong backgrounds in commercial real estate development in the Florida/Alabama Gulf Coast, and they joined forces with Woodbine and Peachtree to pursue the Embassy Suites Gulf Shores opportunity. The team’s collective track record inhospitality and development – as well as DD Partners’ strong relationship with the City of Gulf Shores – resulted in the group closing on the project and beginning construction after many years of pursuit.

“We are excited to have Embassy Suites breaking ground here in Gulf Shores. This is the type of transformative project we envisioned for our beach area when we adopted Vision2025,” said City of Gulf Shores Mayor Robert Craft. “Having a high-end, full-service hotel with significant conference space in the heart of our beach district will boost our shoulder seasons, support local businesses year-round and be a catalyst for higher quality redevelopment in this area.”

Peachtree Group’s CEO and Managing Principal Greg Friedman said, “We are excited to advance this development with our partners and bring the dominant Embassy Suites brand to the vibrant Gulf Shores community. This resort aligns perfectly with the city's promising economic outlook, and as its operator, we anticipate its unparalleled location and all-suite offerings will establish it as the standout performer in its competitive segment, providing an enticing value proposition for business travelers and vacationers in the region.”

While it boasts plenty of its own amenities, Embassy Suites Gulf Shores will offer guests a great deal of options within the area. The property is situated footsteps from the beach as well as the Hangout Music Festival, National Shrimp Festival and NCAA Beach Volleyball Championships. It is also located adjacent to the city’s $15 million beachfront revitalization project, which was completed in 2018 as part of a master plan to enhance the area. Other nearby attractions include Gulf State Park, the Wharf at Orange Beach, Tanger Outlets, more than a dozen championship golf courses and easy access to the sports complexes in Foley.

 

About DD Partners, LLC
Based out of Birmingham, Alabama, and Marietta, Georgia, DD Partners, LLC was founded by Ron Durham and Ron Day. The team has more than 50 years of commercial real estate acquisition, development, construction, management and disposition experience across the Southeast. DD Partners has been involved in the Embassy resort project since its inception. DD was awarded the contract with the City of Gulf Shores through the RFP process, negotiated the terms and benefits of the Development Agreement with the City, secured the Embassy Suites by Hilton flag for the project and completed the conceptual design of the building before joining forces with hospitality partners Woodbine Development and Peachtree Group.

 

About Peachtree Group
Peachtree Group is an investment firm driving growth with a diverse portfolio of commercial real estate assets and other ventures. The company has executed hundreds of investments since its inception, focusing on real estate acquisition, development and lending valued at $9.0 billion in total market capitalization. Today, Peachtree manages over $2.5 billion in equity, augmented by services designed to protect, support and grow its investments. For more information, visit www.peachtreegroup.com.

 

About Woodbine Development Corporation

Woodbine Development Corporation is a full-service real estate company with 50 years of development, investment, acquisition and asset management experience. Since its founding in 1973, Woodbine has been involved in more than $7 billion in commercial real estate development, including resort, resort, mixed-use, office, residential, industrial and master-planned projects throughout the United States. The Dallas-based company offers a depth of hospitality expertise and services, including ground-up development, renovation, repositioning, asset management and ownership for full-service destinations and select-service stays for global and boutique brands alike. Its portfolio also features Woodbine Legacy Investments, an acquisition platform dedicated to the purchase and repositioning of lifestyle resorts, and Woodbine Commercial, a brokerage entity focused on industrial/office. Learn more at www.woodbinedevelopment.com. 

 

Press Release
5 min read

Peachtree Deploys $1.1B in Commercial Real Estate Investments

Peachtree Group, a diversified commercial real estate investment company, announced its credit division has closed $556 million in loan originations of the $1.1 billion the company deployed year-to-date. The remaining $526 million was deployed to acquire five hotels and undertake three new hotel development projects.

Peachtree Group, a diversified commercial real estate investment company, announced its credit division has closed $556 million in loan originations of the $1.1 billion the company deployed year-to-date. The remaining $526 million was deployed to acquire five hotels and undertake three new hotel development projects. The company also opened five hotels that were under construction as of September 2023.

“Commercial real estate owners who have benefited from an extended period of readily available, low-cost capital over the past 15 years are now confronting a new reality,” said Greg Friedman, Peachtree Group’s CEO.

The ability to refinance maturing debt is a growing concern with an estimated $1.9 trillion of U.S. commercial real estate debt maturing before the end of 2026.

“Commercial real estate participants are faced with the pressures of higher capital costs and tighter liquidity in sourcing capital for acquisition, recapitalizations and development strategies,” Friedman said.

Peachtree Group Credit, formerly Stonehill, ranked as the 8th largest U.S. commercial real estate hotel lender by the Mortgage Bankers Association 2022 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.

Notable credit transactions for hotels completed this year include:

  • A $47.9 million first mortgage loan for the construction of a 215-room Autograph Collection hotel in Huntsville, Ala., which is expected to open in 2024.
  • A $43.6 million first mortgage loan on the 220-room Hampton Inn New York-LaGuardia Airport to recapitalize the project and to cover the cost of deferred maintenance and CapEX.
  • A $42.2 million first mortgage loan on the 133-room Motif on Music Row (Nashville) to refinance the current debt and complete the property, which expects to open in November 2023.
  • An $8.4 million loan in CPACE financing to fund various energy-efficient and sustainability elements of a hotel under construction in Detroit, Mich.

Other commercial real estate sector transactions included:

  • A $52.0 million first mortgage loan for the construction of a 245-unit apartment in Mesa, Ariz.
  • A $42.0 million first mortgage loan for the acquisition of the Town Center at Cobb retail center in Kennesaw, Ga.
  • A $23.0 million first mortgage loan for the construction of a mixed-use development in Charlotte, N.C.

Today, banks are under regulatory pressure and need to shore up their balance sheets and liquidity positions, causing significant lending restrictions to commercial real estate. This traditional lender disruption further elevates private credit for owners and developers to execute their business plans.

“We are experiencing an uptick in activity, with more than half of the loans that we originated closing within the past 60 days,” said Jared Schlosser, Peachtree Group’s senior vice president, Credit. “We are targeting more than $1.0 billion in originations for 2023 with continued growth into 2024 as we anticipate interest rates to remain elevated and banks to further reduce exposure.”

Peachtree Group’s acquisition division completed five hotel acquisitions with a total of 677 keys.

  • Hampton Inn & Suites University Capital - Austin, Texas – 137 keys
  • Homewood Suites Vanderbilt - Nashville, Tenn.  - 192 keys
  • Hilton Garden Inn Atlanta North – Johns Creek, Ga. – 122 keys
  • Courtyard Atlanta Kennesaw – Kennesaw, Ga.– 100 keys
  • Home2 Suites by Hilton – Chandler, Ariz. – 126 rooms

“Our transaction volume remains on pace as we have historically acquired 10 to15 hotels annually. The overall U.S. transaction market is down year-over-year, primarily due to 2022 being an active year while debt was still relatively affordable debt a wide availability of regional lenders and improving operating fundamentals whereas in 2023, the tightening of the debt capital markets has materially impacted transaction velocity,” said Brian Waldman, Peachtree Group’s CIO. “We have been uniquely positioned to acquire most of the hotels off-market leveraging our deep relationship network to secure these institutional-quality assets. We are also unique among our competitors as we have the ability to be an all-cash buyer, eliminating lending risk and closing quickly.”

Peachtree Group expects market transactions to accelerate through the remainder of the year and continue into 2024.

Year-to-date, Peachtree Group’s development division has closed on three new projects representing $293 million in aggregate value:

  • Embassy Suites – Gulf Shores, Ala. – 257 keys
  • Caption by Hyatt – Nashville, Tenn. – 210 keys
  • AC by Marriott – Detroit, Mich. – 154-keys

In addition, the development team has opened five hotels with a combined development cost of approximately $119 million:

  • Hilton Garden Inn – Florence, Ky. – 123 keys
  • Hilton Garden Inn – Pensacola, Fla.– 102 keys
  • Hampton Inn – Delray Beach, Fla.– 143 keys
  • Hampton Inn and Home2 Suites – Lake Nona, Fla. – 150 Keys (80 Hampton Inn + 70 Home2 Suites)

The development division, which builds hotels on Peachtree Group’s behalf as well as through joint ventures with strategic partners, is expected to break ground prior to year-end on the construction of four more hotels with an aggregate value of $200 million.

CBRE projects new supply growth to average around 1% for the next three years, well below the amount of new supply growth experienced before the COVID-19 pandemic and less than the 2.5% pace of demand growth over the next three years.

“Supply growth of new hotel rooms continues to be hampered by the challenges from the pandemic and has been further impacted today with dislocation in the credit markets,” said Will Woodworth, vice president of investments, development, at Peachtree Group. “We believe supply will continue to be limited for the foreseeable future and have ramped up our development pipeline in response.”

If actual demand growth rates exceed what is forecasted, the hotel market could be facing a hotel room supply shortage.  This would fuel the growth in occupancy rates and compression in room rates.

“Despite headwinds in the broader markets, Peachtree is well-positioned, capitalized and oriented to strategically target the submarkets and demand segments where new hotels rooms, when realized, will flourish,” Woodworth said.

About Peachtree Group

Peachtree Group is an investment firm driving growth with a diverse portfolio of commercial real estate assets and other ventures. The company has executed hundreds of investments since its inception, focusing on real estate acquisition, development and lending valued at almost $9.0 billion in total market capitalization. Today, Peachtree manages over $2.5 billion in equity, augmented by services designed to protect, support and grow its investments.

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