JLL Arranges $70.85M Construction Loan for Plaza Companies, Fayth Hospitality's 257-Key Phoenix Hotel
PHOENIX, Nov. 2, 2026 — JLL's Hotels & Hospitality Group announced that it arranged a $70.85 million construction loan for the development of Hotel Six Four, Mayo Blvd, a 257-key dual-branded hotel in North Phoenix. JLL worked on behalf of the borrower, Plaza Companies and Fayth Hospitality, to secure the five-year, floating-rate loan.
The project combines a 133-key Tapestry Collection by Hilton and a 124-key Homewood Suites by Hilton on an 8.15-acre site adjacent to the Mayo Clinic Phoenix campus. The hotel is expected to open in 2028.
JLL Construction Financing Details
The $70.85 million loan carries a five-year term and a floating rate. Based on the 257 keys, the financing works out to roughly $275,875 per room. The JLL Hotels & Hospitality team was led by Managing Director Adrienne Andrews, along with Analyst Jessica Mehra.
"What made this financing compelling was the convergence of institutional development expertise with a site positioned at the epicenter of one of the Southwest's emerging healthcare and innovation districts," Andrews said. "The sponsorship's track record of executing dual-brand Hilton projects in Arizona gave lenders confidence in their ability to deliver on schedule and capture demand from day one."
Dual-Branded Hotel Design and Amenities
The development pairs Tapestry Collection guestrooms with Homewood Suites rooms, creating a lodging platform designed to serve both short-term and extended-stay guests. The hotel will include a full-service restaurant with indoor and patio seating, a private dining room, a craft cocktail bar, 2,564 square feet of meeting space, a fitness center and an outdoor pool.
"We're excited to bring a dual-branded Hilton hotel to one of the most compelling growth corridors in the Phoenix market," said Greg Fay, Co-Founder of Fayth Hospitality. "Combining Tapestry Collection's distinctive, locally inspired experience with the extended-stay convenience of Homewood Suites allows us to serve a broad range of travelers, from business guests to patients' families and leisure visitors."
Sharon Harper, Chairman and CEO of Plaza Companies, said the financing is "an important milestone for a project that reflects the tremendous growth taking place in North Phoenix." She added: "We see Hotel Six Four, Mayo Blvd as more than a hotel — it is part of the infrastructure supporting the region's emergence as a destination for healthcare, business and innovation."
North Phoenix/North Scottsdale Corridor and Mayo Clinic Expansion
The site is less than one mile from many of the area's demand generators and offers direct access to Loop 101. Nearby destinations include CityNorth, Desert Ridge Marketplace, Kierland Commons, Scottsdale Quarter, TPC Scottsdale, WestWorld of Scottsdale and ASU Futures Health Center. The Mayo Clinic Phoenix campus is located at 5777 E. Mayo Blvd.
The hotel sits within the North Phoenix/North Scottsdale corridor, a mixed-use growth area anchored by healthcare institutions, corporate headquarters and emerging life sciences development. Nearby employers include Mayo Clinic, American Express, Axon Enterprise, Discount Tire and Republic Services. Projects underway in the surrounding area include the Discovery Oasis life sciences campus, the Arizona Cardinals' new headquarters and training facility, Brooks Rehabilitation Hospital and several mixed-use and residential developments.
Mayo Clinic is planning a $1.9 billion expansion of its Phoenix campus, including approximately 1.2 million square feet of new space, 11 additional operating rooms and 48 additional beds, with completion targeted for 2031. Mayo says the expansion will increase clinical space on the campus by nearly 60%. The corridor also includes Mayo's Integrated Education and Research Building, a 150,000-square-foot facility intended to bring researchers, scientists, students and clinicians together.
Phoenix Hotel Market Context
The project advances as Phoenix absorbs a substantial volume of new hotel supply. The market was forecast to add 26 hotels and 3,615 rooms in 2026, followed by 16 hotels and 1,989 rooms in 2027. Phoenix hotel occupancy was 62.3% in September 2026, down 2.4% year over year. Average daily rate was $141.94, down 1.4%, while revenue per available room was $88.45, down 3.8% for the month. Year-to-date RevPAR remained about 5.2% higher.
The dual-brand format pairs differentiated, locally oriented accommodations with extended-stay rooms suited to patients' families, project teams and longer-duration guests, with shared amenities supporting both segments. At roughly $276,000 of construction debt per key, the project will depend on room rates, ancillary revenue and stabilized occupancy to support debt service once complete.
About the Sponsors
Plaza Companies, based in Peoria, Arizona, develops and manages medical office and commercial office properties, technology and bioscience facilities, mixed-use properties and senior housing communities. Founded in 1982, the firm reports a portfolio of more than 14 million square feet across greater Phoenix valued at more than $1 billion.
Fayth Hospitality, led by Greg Fay and partner Randy Churchey, launched in 2018 as a hotel investment company focused on select and compact full-service hotels. The company opened a dual-brand Hampton Inn/Home2 Suites by Hilton in downtown Tucson in August 2021 and a Home2 Suites/Tru by Hilton in midtown Phoenix.
Outlook
The financing reflects continued lender interest in Phoenix hospitality projects tied to specialized demand drivers such as healthcare and bioscience, even as new supply enters the market. The Mayo Clinic expansion, targeted for completion in 2031, and the hotel's 2028 opening date frame the project's timeline.
Sources
JLL newsroom: https://www.jll.com/en-us/newsroom/jll-arranges-financing-for-hotel-development-in-phoenix