Dive Brief:
- Investment group Tidal Real Estate Partners has secured $371.5 million from Madison Realty Capital and KSL Capital Partners for the development of The Nashville Edition, a luxury Marriott-branded hotel and residences project planned for the Tennessee city’s Gulch neighborhood, according to commercial real estate advisory firm Walker & Dunlop, which arranged the financing.
- The Nashville Edition will offer 261 guest rooms and 84 residential units in a 28-story tower. Developed by Flank GP Fund I, the project will also be home to multiple chef-led restaurant and bar concepts as well as a spa, a golf simulator, meetings and events space and a rooftop pool and bar with views of the Nashville skyline.
- The Nashville Edition will “fill a clear gap in the market” for elevated living and hospitality experiences, according to Keith Kurland, senior managing director at Walker & Dunlop.
Dive Insight:
The project will meet a demand for “design-forward hotel models that reflect local culture,” which remain underrepresented in Nashville, Mick Walsdorf, principal at Tidal Real Estate Partners, said in the release.
“We see a clear opportunity for a mixed-use, culture-led hospitality concept that elevates both residential living and the guest experience,” Walsdorf said, adding that The Nashville Edition “will be rooted in standout design and intentional programming, backed by institutional-scale execution to create one of Nashville’s most inspired branded hotel and residential destinations.”
The project will cater to the more than 2.1 million people who call the Nashville metropolitan area home, according to Walker & Dunlop. Nashville, Kurland said, has “evolved into a premier high-rise residential and luxury hospitality market, driven by sustained demand from both residents and travelers.”
The project moves forward as Nashville “continues to attract strong business and leisure travel,” Walsdorf said. It is projected that in 2025, Nashville saw roughly 17.4 million visitors, with that number slated to grow over the next several years, according to Tourism Economics research.
The Nashville Convention & Visitors Corp. previously told Hotel Dive that, in 2025, travelers would spend $11.5 billion at the city’s hotels, restaurants and attractions, a 3.2% increase year over year.
As hospitality demand in Nashville grows, so has Tidal’s pipeline in the market. The Nashville Edition represents the firm’s third project to break ground in the trendy Gulch neighborhood, following a dual-branded Marriott Vacation Club and Apartments by Marriott Bonvoy project.
Other hospitality players are also eyeing expansion in Nashville. Pendry Hotels & Resorts is similarly underway on a luxury hotel and residences project in the city. And Dolly Parton’s immersive SongTeller Hotel is slated to open in the market later this year.
Meanwhile, in December, Apple Hospitality REIT acquired the Motto by Hilton Nashville Downtown for approximately $98.2 million.
