London-based Generator Hostels obtained a $25 million loan to build out its first hostel in the United States in South Beach. HSBC Bank USA provided the mortgage to G 3120 Collins LLC, an affiliate of Generator Hostels. The company is converting the former Atlantic Princess Condominium at 3120 Collins Ave. into a hostel.
It previously bought out all 102 condos and terminated the condo association. The building is a short walk from the beach.
On its website, Generator Hostels said its South Beach facility is coming soon. The company has 13 locations in Europe. All its hostels include a bar, a cafe, free Wi-Fi, a travel shop and female-only dorms.
Earlier this year, Generator was purchased by Queensgate investments, which committed to investing $300 million into property expansion with a focus on the United States.