NorthStar Real Estate Income II Originates Senior Loan

NorthStar Real Estate Income II (NorthStar Income II) announced today that it has originated a $45.75 million senior loan. The non-traded REIT seeks to acquire and asset manage a diversified portfolio of commercial real estate debt, securities and select equity investments.

NorthStar Income II has secured the loan with a portfolio of three full-service hotels located in Florida and Pennsylvania. The initial term of the loan is 36 months, with two one-year extension options available.

The properties contain a total of 680 rooms and over 26,000 square feet of combined meeting space. The hotels have had a total of $17.3 million invested in them over the past 18 months and have plans for additional capital improvements using proceeds from the loan.

“We are pleased to announce the closing of NorthStar Income II’s latest investment,” said Daniel R. Gilbert, chief executive officer and president. “We continue to source new investment opportunities and diversify the NorthStar Income II portfolio through investments backed by strong sponsors with proven track records across geographic locations.”

As of August 13, 2014, NorthStar Income II’s portfolio consists of five senior mortgage loans with a combined principal amount of $203.0 million and one subordinate interest totaling $24.9 million.