Fundamental Advisors announced that it had provided senior secured loan financing for a $50 million hotel project at Mohegan Sun Tribal Gaming Authority’s Pocono Downs racetrack on Monday.
The hotel, which opened earlier this month, includes 238 rooms and a special events space. The grand opening included performances by Tonight Show host Jay Leno, Rachel Bradshaw and Kevin Bacon, among others, according to a release.
Mohegan Sun Tribal Gaming Authority acquired the Pocono Downs racetrack site in 2005 for $280 million. In July 2012, Mohegan Sun announced its intention to build a 238-room seven-storey hotel and convention center on the site. The Gaming Authority estimated construction of the facility would take 15 months, according to a press release.
“The completion of this project further solidifies our strong partnership with the Mohegan Tribal Gaming Authority and demonstrates our ongoing commitment to providing flexible and reliable capital solutions,” said Fundamental’s chief executive and chairman Laurence Gottlieb in a statement.
Gottlieb founded Fundamental Advisors in 2007. The firm specialises in distressed assets through its dual investment strategies. Fundamental Partners portfolio investments focus on healthcare and senior care, infrastructure and energy, student housing, affordable and multi-family housing as well as hospitality and urban development. On its website, the firm lists “tribal gaming” under the hospitality and urban development heading.
Fundamental Credit Opportunities investments are more liquid and tend to focus on inefficiencies in the municipal market.