Smith Hill Capital, the fully integrated commercial real estate debt investment management business of Procaccianti Companies, and Bain Capital today announced the firms’ joint venture completed a $235 million refinancing for the iconic Gurney’s Montauk Resort & Seawater Spa in Montauk, New York for BLDG Management Co., Inc., and Metrovest Equities.
The 158 key property is an oceanfront resort situated on a 2,080 foot private beach in Montauk. It features 109 rooms, 35 suites and eight beachfront bungalows.
“Gurney’s Montauk represents the type of irreplaceable, generational asset that aligns perfectly with our investment strategy—anchored by strong market fundamentals, exceptional sponsorship, and long-term value creation,” said Brendan McCormick, Managing Principal, Smith Hill Capital. Even in today’s uncertain markets, we continue to actively deploy capital for high conviction opportunities such as this. We’re pleased to support BLDG, Metrovest and Bain Capital in the ongoing evolution of this iconic destination. It is positioned uniquely as a luxury resort in one the most sought after leisure markets of the country.
David DesPrez is a Partner with Bain Capital. He said that the Gurney’s Montauk Loan exemplifies Bain Capital’s strategic approach to commercial lending. “This transaction demonstrates Bain Capital’s commitment to offering flexible financing options to high-quality borrowers with quality assets in an uncertain macroeconomic context.”
Justin Kleinman is the Executive Vice President of BLDG Management and Chief Operating officer. He said that Gurney’s Montauk was an iconic and exceptional property with world-class facilities. This is one of the most prestigious resort destinations in the Northeast. It is an important asset to our portfolio.
“Smith Hill Capital and Bain Capital proved to be outstanding lending partners on the Gurney’s project,” said Christopher Peck, Senior Managing Director and Co-Head of the New York Office, JLL. The team’s experience and collaborative approach proved invaluable in financing the unique asset. They recognized immediately the exceptional value and flexibility of this 20-acre Montauk Resort, and they perfectly aligned their lending solutions with the sponsor’s requirements.”
Smith Hill’s and Bain Capital’s joint venture is focused on providing financing for hospitality companies and assets across demand-driven U.S. market segments. The partnership brings together decades of experience in the capital markets and industry with an attractive market opportunity.
