The Jamul Indian Village Development Corporation (JIVDC), owner and operator of Jamul Casino and a wholly-owned enterprise of the Jamul Indian Village of California, has closed on $515 million of Senior Secured Credit Facilities with a syndicate of commercial banks led by KeyBanc Capital Markets. The transaction comes as Jamul Casino begins building a new hotel connected to the property.
The other lenders included Western Alliance Bank, Nevada State Bank, U.S. Bank, PNC Bank, CIT Bank and Columbia State Bank. Proceeds from the Credit Facilities will be used to refinance existing debt, fund hotel construction and pay transaction-related fees and expenses.
This is the third significant financial transaction the JIVDC has completed in recent years, notes the Jamul Indian Village of California. The Tribe refinanced their property in 2021 and again 2022.
JIVDC and Tribal Chairwoman Erica M. Pinto said: “We are thankful for the partnership with KeyBanc and appreciate their approach, flexibility, and collaboration. The terms of this transaction will allow us to focus on our long-term financial stability and new projects that will continue to provide benefits for the Tribe.”
Ben Rechkemmer, Managing Director, commented: “KeyBanc Capital Markets, together with a syndicate of lenders, are dedicated to providing financial solutions required by Tribes and their gaming entities. Jamul Casino’s management team and JIVDC’s effective leadership made this financial goal a reality. We are proud to be part of the continued success of JIVDC, Jamul Casino, and the Tribe as well.”
Procopio, Cory, Hargreaves & Savitch LLP provided legal counsel for the JIVDC, and FSA Investment Group acted as the JIVDC’s financial advisor. Procopio is an AMLaw 200 full-service business and litigation law firm, and FSA Investment Group is a financial advisory and investment firm.
“It’s very rewarding to see Jamul Casino’s success recognized by this team of lenders. It speaks to the vision of our Tribal Board, the property leadership team, the dedication of our staff, and the loyalty of our guests. This comes at an exceptional time as we begin building a beautiful new hotel connected to the casino,” said Jamul Casino President and General Manager Mary Cheeks.
JIVDC is adding to its property by developing a new 16-story hotel, which will feature 200 rooms, including 52 suites, a rooftop pool and jetted hot tub, a spa and salon, a fitness center, a restaurant and lobby bar, and a banquet room. The hotel is being built to achieve AAA’s Four Diamond designation.
Original article: https://www.yogonet.com/international/news/2023/04/04/66712-california-39s-jamul-casino-owner-secures-515m-financing-as-it-targets-hotel-expansion
