Nashville, East Bank district, August 26, 2025
News Summary
Arriba Capital provided a $67 million construction loan to fund a dual-branded Hilton hotel (Home2 Suites and Hampton Inn) in Nashville’s East Bank district. The upper-midscale project will cover hard and soft costs for a repeat borrower and sits adjacent to a planned $2 billion corporate headquarters campus, expected to boost weekday demand. The property is scheduled for delivery in early 2027. Dual-branding is intended to broaden guest appeal and improve operational efficiency. The financing follows other large hotel deals in the market, underscoring a busy development window and the need to monitor room supply and staffing.
Arriba Capital closes $67M construction loan for dual-branded Hilton hotel next to major Oracle campus site in Nashville
Arriba Capital has closed a $67 million construction loan to fund a new, dual-branded hotel development in the East Bank district of Nashville. The project will operate under Hilton flags Home2 Suites and Hampton Inn, and is sited directly adjacent to land planned for a $2 billion global headquarters campus being developed by a major technology firm. The borrower is a Southeast-based hospitality management and development company and a repeat borrower with Arriba Capital. The developer expects to deliver the hotel in early 2027.
What the deal covers
The financing is a construction loan specifically intended to cover costs tied to building an upper-midscale hotel that will combine Home2 Suites and Hampton Inn rooms under one roof. The location in Nashville’s East Bank places the property near a large corporate campus project, which is expected to reshape demand patterns in the immediate neighborhood. The borrower is both a manager and developer, indicating the operator intends to be actively involved in both delivery and ongoing hotel operations.
Why the location matters
The East Bank site sits adjacent to a high-profile campus planned by a technology company, billed at approximately $2 billion in development value. Adjacency to a large corporate headquarters typically brings steady business travel demand, day-to-day meetings and periodic events, a common draw for upper-midscale and select-service hotels. The dual-brand format allows the property to offer a range of room types and price points while sharing back-of-house facilities and services.
Timeline and market positioning
Construction financing has closed with a targeted delivery window of early 2027. The project’s upper-midscale positioning and Hilton brand affiliation aim to capture both extended-stay and short-stay travelers through the Home2 Suites and Hampton Inn flags. Dual-branded hotels are commonly used to maximize revenue per available room and broaden market reach while managing construction and operational costs more efficiently than separate properties.
Broader Nashville context
This financing follows other large hospitality financings in the Nashville market, underscoring continued interest from developers and capital providers. Separately, another team arranged a $253 million construction financing for a high-rise hotel and residence project in a nearby district, with that development also aiming for a 2027 opening. Taken together, these deals point to multiple large-scale hospitality projects advancing toward construction and delivery over the next two years.
Loan and developer details
The loan is structured as construction financing, commonly used to fund site work, vertical construction, hard costs and related development expenses until stabilization. The borrower’s repeat relationship with the lender suggests prior partnership on similar projects or established underwriting history. The combined Home2 Suites and Hampton Inn approach will allow shared operational staff, centralized back-of-house systems and a mix of room categories tailored to both short-term leisure or business stays and longer-stay guests.
Implications for stakeholders
For lenders and investors, the deal highlights continued appetite for hospitality construction lending in select urban markets. For the local market, the hotel will add new room inventory to support business travel tied to the nearby campus and other downtown activity. For travelers, the property will offer two widely recognized midscale-to-upper-midscale brands operated under a single roof, delivering options at different price and stay-length needs.
Next steps
With financing secured, the project will proceed through permitting, detailed design, and construction. The reported opening target remains early 2027, subject to standard development risks such as permitting timelines, supply chain or labor constraints, and construction scheduling.
FAQ
What is the size of the construction loan?
The construction loan is reported at $67 million.
Which hotel brands will the project include?
The property will be dual-branded, featuring Hilton Home2 Suites and Hilton Hampton Inn rooms.
Where is the hotel located?
The site is in the East Bank district of Nashville, adjacent to a large planned corporate campus valued at roughly $2 billion.
When is the project expected to open?
The developer plans to deliver the hotel in early 2027.
Who is the borrower?
The borrower is a Southeast-based hospitality management and development company that has previously worked with the lender.
Does this project relate to other Nashville developments?
Yes. The market has seen multiple large hospitality financings, including a separate $253 million construction financing for a hotel-residence tower in another Nashville district, also targeting 2027 delivery.
Key project features
Feature | Arriba Capital hotel (East Bank) | Other referenced Nashville project (Paseo South Gulch) |
---|---|---|
Loan amount | $67,000,000 | $253,000,000 |
Branding | Home2 Suites & Hampton Inn (dual-branded) | Pendry hotel and Pendry-branded residences (hotel-condominium) |
Location | Nashville East Bank, adjacent to planned corporate campus | Nashville Paseo South Gulch district |
Project type | Upper-midscale, dual-branded select-service hotel | Luxury hotel + branded condominiums (30-story mixed-use tower) |
Delivery target | Early 2027 | 2027 |
Borrower / developer | Southeast-based hospitality management and development company (repeat client) | Development partners and capital providers arranged by advisory teams |
Deeper Dive: News & Info About This Topic
Additional Resources
- Lodging Magazine: Arriba Capital closes construction loan for dual-branded hotel in Nashville
- Wikipedia: Dual-branded hotel (search)
- Hotel Business: Arriba Capital closes $67M construction loan for Nashville dual-brand property
- Google Search: Arriba Capital 67 million construction loan Nashville
- REBusinessOnline: Arriba Capital provides $67M construction loan for dual-branded hotel project in Nashville
- Google Scholar: construction loan Nashville hotel
- Business Wire: Walker & Dunlop arranges $253M construction financing for Pendry Nashville
- Encyclopedia Britannica: Pendry Hotel Nashville (search)
- Nashville Post: Giarratana still seeks closing on $360M construction loan for high-rise project
- Google News: Giarratana construction loan Nashville
