Grandpoint Bank’s Can-Do Approach to Construction Lending
El Segundo, California is on its way to having a beautiful new AC Marriott, and we’re very excited to be a part of it. Grandpoint Bank funded the construction loan for this beautiful, $33 million, 180-room project, which will have added bragging rights of providing El Segundo with its first rooftop entertainment space.
Earlier this month, we participated in the groundbreaking of the new hotel, now under construction at 2130 East Maple Avenue on a site adjacent to the L.A. Lakers’ training facility.
Welcome El Segundo, the force behind creating this AC Marriott hotel, is owned by Amar and Rita Shokeen. Their son, Arjun, serves as Operations Manager for their hospitality business. This dynamic family owns seven other hotel properties across the country and has the hospitality know-how to make this complex project happen.
One of the first hurdles the Shokeens faced with their development was the scarcity of parking in the area surrounding the hotel. To address the parking challenge, the City of El Segundo required that Welcome El Segundo first build a parking garage for the hotel that would also be available to the occupants of two nearby office buildings, a toy company and a business park.
Since Welcome El Segundo used cash for the parking structure development, we were able to obtain assignment rights and collateralize the parking lot for the hotel construction loan, and in doing so, helping Welcome El Segundo’s equity position and securing the loan.
Ahmad Shafique from Advantage CDC in Long Beach first connected us with the Shokeens. Through our outreach to many different economic development agencies, Ahmad knew about our lending capacity and community focus and hoped we could help. We hadn’t worked with the Shokeens before, but we were impressed by their financial and operational strength, so we moved forward with the construction loan process.
With help from our Senior Vice President Mo Helmy, Executive Vice President and Manager of our construction lending department Karen McGuire, Regional President John Nixon and President Rocky Laverty, we got the construction loan funded. The Shokeens quickly put R. D. Olson Construction to work building the hotel. Completion is expected for early summer of 2019.
Our sign posted at the construction site is generating a lot of interest from other business people who are building the places where we work, live, vacation and play. We are proud to provide services to entrepreneurs like the Shokeens and many more.
Please contact us if you have a business or project that needs a bank with a can-do attitude.