T
he Loren Group has secured a $57 million loan for its luxury boutique hotel at Lady Bird Lake in Austin, courtesy of Southern Realty Trust. The 108-key hotel, located on 1.5 acres at 1211 West Riverside Drive, boasts a significant price tag of $528,000 per key. The loan is comprised of $25 million from Southern Realty Trust and $32 million from Sunrise Realty Trust, both affiliates of TCG Real Estate that focus on financing Sun Belt assets.

    The Loren hotel, which opened in 2022, is part of a mixed-use development featuring 24 condo units, a coffee shop, and a rooftop restaurant. The property also includes the historic Paggi House, now open as an art gallery and event space after its recent reopening. The Loren has received accolades from top travel publications, including Condé Nast Traveler, Travel and Leisure, and Esquire.

    Austin's hospitality market is thriving, with an occupancy rate of 67.4 percent and a 4 percent increase in average daily rates for luxury hotels. Despite adding nearly 16,000 rooms between 2016 and 2022, the city remains a desirable destination. The Loren Group, which operates a flagship hotel in Bermuda, plans to open its third property in Turks & Caicos next year.