Banyan Investment Group buys Orlando hotel

Waramaug Hospitality and Contrarian Capital Management have sold the Castle Hotel, Autograph Collection by Marriott, a 213-key boutique Orlando hotel, to Atlanta-based Banyan Investment Group.

“We are pleased to close on this acquisition through our Banyan Lodging Enhanced Value Fund and appreciate the flawless execution by the Berkadia team in sourcing and arranging the debt financing," Samir Yajnik, principal and EVP of Investments at Banyan Investment Group, said in a statement. "Our ability to provide certainty of execution combined with our nimbleness to navigate through a challenging capital markets environment proved to be advantageous. We are continuing to pursue both branded and independent hotels primarily in primary and secondary markets with multiple business and leisure demand generators,” 

Built in 1995 and renovated in 2022, the property takes up 3.4 acres, consisting of one nine-story building and two detached single-story buildings. Hotel amenities include a 24-hour fitness center, a heated pool and hot tub with a poolside bar, a full-service restaurant and a 9,577-square-foot flexible meeting area that includes a 2,206-square-foot ballroom. 

Berkadia, representing the sellers, arranged the sale and financing of the property. Berkadia Managing Director Michael Weinberg secured acquisition financing on behalf of Banyan. MetLife originated the three-year loan with two one-year extension options.

“Orlando is seeing tremendous performance growth and this asset is directly adjacent to the new multi-billion theme park Universal is building which should really help the success of this investment,” Weinberg said. “It’s definitely a tough transaction market but we were thrilled to be able to advise both the seller on the disposition and the buyer with their acquisition financing.”