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 Provides $67M Construction Loan for Dual-Branded Hilton Hotel Next to Oracle’s Planned Nashville Campus
SCOTTSDALE, Arizona — A $67 million construction loan has been closed to fund a new dual-branded upper-midscale hotel in Nashville’s East Bank district. The project will carry rooms under Hilton Home2 Suites and Hilton Hampton Inn flags and sits adjacent to a planned $2 billion global headquarters campus being developed by Oracle.
Key facts up front
The borrower is a Southeast-based hospitality management and development company that has worked with the lender before. The development team expects to deliver the hotel in early 2027. The financing is explicitly a construction loan meant to cover building costs through completion.
Project and location details
The hotel is planned for Nashville’s East Bank district, placing it close to a major corporate investment on the same block — the multi-billion-dollar campus Oracle plans to build for its global headquarters. The new hotel is described as upper-midscale, pairing two Hilton brands to offer a range of guest room types and operational efficiencies that often come with dual-brand properties.
The developer — identified as a repeat client of the lender — intends to use the loan to move the project through construction, with a target opening at the start of 2027. Dual-branded projects like this typically aim to capture both leisure and business travelers by offering a mix of extended-stay and limited-service options under one roof.
Market context: more hotel construction in Nashville
The city’s hotel pipeline also includes a large mixed-use hotel-condominium tower elsewhere in Nashville. A separate financing package for a 30-story hotel-condominium in the Paseo South Gulch district was announced recently, with roughly $253 million arranged for that development. That project will include about 180 hotel keys and 146 branded condominiums, and it is also targeted to open in 2027. Banks participating in that deal include regional and national lenders working with the developer and its advisers.
Together, these financings underline a larger development trend: multiple major hospitality projects in Nashville are moving from planning toward construction with 2027 as a common opening window. The flow of capital into these projects reflects expectations for continued visitor demand, corporate travel tied to local headquarters growth, and demand from buyers in the case of condo components.
Why the location matters
The East Bank site’s proximity to a large corporate campus underlines a strategic choice: hotels near major employment centers and corporate campuses often see steady weekday demand from business travelers, visiting professionals, and short-term project teams. The adjacency to a multi-billion-dollar headquarters development can shorten travel times for corporate visitors and increase group or corporate bookings for nearby hotels.
Loan type and developer profile
The financing is a construction loan, which normally covers hard and soft costs during the build phase and can convert to long-term debt or be paid off at stabilization. The borrower is described as a hospitality management and development firm based in the Southeast and noted as a repeat partner for the lender, indicating an ongoing working relationship on hotel deals.
Timing and next steps
Construction is expected to proceed under the terms of the loan with delivery planned for early 2027. As work advances, standard permitting, scheduling, and supply-chain milestones will guide timing. The other major Nashville hotel-condo project mentioned above plans to break ground immediately after financing closes, with an opening date also set for 2027.
What this means for the local market
New hotel capacity will add rooms to an already active market, which can pressure existing properties while also supporting increased visitor volume tied to corporate moves, conventions, and leisure travel. Mixed-use towers that pair hotels with residences add another layer, bringing permanent residents who use local services and amenities year-round.
Bottom line
The new $67 million construction loan marks another sizable hospitality investment in Nashville. With a dual-branded Hilton property planned next to a major corporate campus and other large hotel developments also underway, the local market is poised for meaningful growth in hospitality supply and related economic activity through 2027.
FAQ
What did the loan fund?
The $67 million construction loan will fund a dual-branded hotel with rooms under Home2 Suites and Hampton Inn, covering building costs through construction to opening.
Where is the hotel located?
The site is in Nashville’s East Bank district, adjacent to a planned $2 billion corporate headquarters campus for a major technology company.
Who is the borrower?
The borrower is a Southeast-based hospitality management and development company that has worked with the lender on prior deals.
When is the hotel expected to open?
The development team expects to deliver and open the hotel in early 2027.
How does this project fit into the broader Nashville market?
This project joins several large hotel and mixed-use developments planned or underway in Nashville, including a separate hotel-condo tower financed with a roughly $253 million construction package, also targeting 2027 openings.
Key Features at a Glance
| Item | Details |
|---|---|
| Loan amount | $67,000,000 construction loan |
| Project type | Dual-branded hotel (Home2 Suites & Hampton Inn), upper-midscale |
| Location | Nashville, East Bank district — adjacent to planned $2 billion corporate campus |
| Borrower | Southeast-based hospitality management and development company (repeat client) |
| Expected delivery | Early 2027 |
| Related local activity | Other major Nashville projects include a ~$253M construction financing for a 30-story hotel-condo tower targeted for 2027 |
| Loan type | Construction loan |
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
Author: Construction CA News
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