In Brief: Sonnenblick-Eichner has facilitated a $115 million loan from Madison Realty Capital for the refinancing of La Bahia Hotel & Spa, a luxury beachfront property in Santa Cruz, California.
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La Bahia Hotel & Spa – Image Credit Sonnenblick-Eichner Company
Sonnenblick-Eichner Company, on behalf of Ensemble Investments, LLC, has arranged $115 million in first mortgage debt to refinance a newly opened 155-room luxury waterfront hotel in Santa Cruz, CA. The loan was originated by Madison Realty Capital, working with Newbond Holdings.
The five-year, floating-rate, non-recourse financing is secured by La Bahia Hotel & Spa, which is located in Santa Cruz, CA; a highly sought-after coastal destination along Northern California’s Monterey Bay.
La Bahia Hotel & Spa opened in September 2025 and delivers a full complement of upscale resort amenities. These include an indoor-outdoor spa, fitness center, outdoor pool and hot tub, three distinct dining concepts, the Pearl Champagne lobby bar and 13,720 square feet of state-of-the-art meeting and event space. The property’s unique positioning and the scarcity of comparable luxury hospitality offerings in Santa Cruz County create a distinct competitive advantage, according to Sonnenblick-Eichner Principal David Sonnenblick.
“Madison Realty Capital, a seasoned hospitality lender, and Newbond were both drawn to the hotel’s irreplaceable location, exceptional barriers to entry, and its potential to be among the most successful beachfront properties in Northern California,” said Sonnenblick.
“La Bahia is an irreplaceable asset in a market that has long been underserved by true luxury hospitality. The property’s beachfront positioning along Monterey Bay gives it a structural competitive advantage that is extremely difficult to replicate,” said Samir Tejpaul, Managing Director and Head of Investments at Madison Realty Capital. “Having recently closed the Hotel Nia financing with Ensemble Investments, LLC, we have seen firsthand the operational depth and institutional credibility this team brings to complex hospitality assets across the Bay Area, and we are pleased to deepen that relationship with this transaction.”
Last month, Madison Realty Capital, working with Newbond, also provided affiliates of Ensemble with a $110 million loan arranged by Sonnenblick-Eichner to refinance the Hotel Nia, a 250-room, full-service luxury hotel in nearby Menlo Park, CA.
“The Ensemble team has dedicated years to bringing La Bahia to life as a landmark hospitality destination,” said Andrew Fichte, Partner at Newbond Holdings. “We are proud to support their vision through this financing and believe the property is well positioned to become one of Santa Cruz’s defining hospitality destinations for generations of visitors to come.”
“These financings underscore continued lender confidence in high-quality, well-located resort assets backed by strong institutional ownership,” added Sonnenblick-Eichner Principal Patrick Brown.
About Sonnenblick-Eichner Company
Sonnenblick-Eichner Company (www.sonneich.com) is a Los Angeles-based real estate investment banking firm that specializes in arranging structured finance for acquisition, construction and permanent loans, interim and mezzanine financing as well as joint-venture equity transactions. The company is recognized for its expertise in marketing institutional real estate for sale and providing capital for all product types including retail, office, hospitality, industrial, and multifamily properties.
About Madison Realty Capital
Madison Realty Capital is a real estate private credit manager focused on US-based commercial real estate lending strategies. As of December 31, 2025, the firm and its controlled affiliates (collectively, “Madison”) manage $24 billion in assets on behalf of a global institutional investor base. Since 2004, Madison has completed $82 billion of real estate transactions. Madison seeks to deliver value at every phase of the property lifecycle by providing tailored financing solutions to borrowers across the capital stack.
About Newbond Holdings
Newbond Holdings is a real estate and hospitality-focused investment platform focused on debt and equity positions across multiple real estate product types, as well as investments in related operating businesses and technology platforms. As a vertically integrated operating and investment platform, Newbond is uniquely positioned to create significant value beyond the typical investment process through creative structuring, operations, and the development of single and multiple-asset brands. For more information, visit www.newbond.com.
Media Contacts:
For Sonnenblick-Eichner Co.
Bruce Beck/DB&R Marketing Communications, Inc.
bruce@dbrpr.com
(818) 540-8077
For Madison Realty Capital
Grace Cartwright/Jared Kimmel
Gasthalter & Co.
madisonrealty@gasthalter.com
(212) 257-4170
For Newbond Holdings
Amy Rossetti/RARE Public Relations
amy@rarepublicrelations.com
310-779-6025
