Experiential real estate investment trust VICI Properties Inc. has agreed to provide a mezzanine loan for up to $127 million to Great Wolf Resorts, Inc. (Great Wolf) for the development of Great Wolf Lodge Gulf Coast Texas, a $200 million-plus family resort project in Webster, Texas.
The 532-room indoor water park resort was officially announced during a groundbreaking event and is expected to start welcoming guests in mid-to-late 2024. The mezzanine loan has an initial term of threeyears with two 12-month extension options subject to certain conditions. The investment is expected to be funded with cash on hand in accordance with a construction draw schedule.
This transaction represents VICI Properties’ third mezzanine loan investment with Great Wolf for a total capital commitment of $265.5 million as part of the VICI’s strategic arrangement to provide up to $300 million of mezzanine financing to support the funding of the development of Great Wolf’s domestic and international indoor water park resort pipeline.
VICI Properties’ portfolio of gaming, hospitality and entertainment destinations includes Caesars Palace Las Vegas, MGM Grand and the Venetian Resort Las Vegas. VICI Properties’ national, geographically diverse portfolio consists of 43 gaming facilities comprising over 122 million square feet and features approximately 58,700 hotel rooms and more than 450 restaurants, bars, nightclubs and sportsbooks.
