Off-Strip casino-resort closes $176M loan for renovations
Dreamscape Companies has received a $176.5 million loan for its recently renovated 2,520-room Rio casino-hotel in Las Vegas.
Atlanta-based Peachtree Group originated the retroactive Commercial Property Assessed Clean Energy (CPACE) loan for Dreamscape Companies, it announced in a news release. CPACE loans allow commercial property owners to fund upgrades that improve energy efficiency, water conservation and more.
The deal, which Peachtree Group called the largest credit transaction in its history, was finalized in less than 60 days, according to a news release.
The Rio, owned by Dreamscape Companies and now under the Destinations by Hyatt brand, completed its $350 million renovation in 2024. The renovations included a full refresh of the 2,520 guest rooms, 150,000-square-foot casino floor, 220,000-square-foot meeting and convention space and pools.
Other upgrades include the installation of a new OLED marquee on Flamingo Road, new exterior paint and LED neon lights. Inside, crews remodeled 1,400 rooms in the Ipanema Tower and added the six-stall Canteen Food Hall. Additionally, the property’s central heating and cooling plant was modernized and the electrical infrastructure was upgraded.
Dreamscape didn’t immediately respond to a request for comment on the loan.
“This deal highlights an inflection point for CPACE, with some of the nation’s largest financial institutions consenting to its use because they see the clear benefit to the capital stack,” said Jared Schlosser, head of originations and CPACE for Peachtree. “By closing quickly on a marquee hospitality asset, we were able to strengthen the position of both the owner and its lenders.”
Erin Edgemon can be reached at eedgemon@reviewjournal.com.