Fairmont Heritage Place - The Cedars
Investment Highlights
Investment Amount
$1,050,000
Investor Type
Subordinated Loan
Investment Duration
3 to 4 Years
Projected Return
5% per annum
Location of Job Activity
Urban
Application Processing
Standard (Expedite Pending)
Total Project Cost
$118,522,092
Total EB-5 Raise
$21,000,000
Estimated Jobs
686
Job Cushion
243%
I-956F
Approved
Fairmont Heritage Place The Cedars
Fairmont Heritage Place The Cedars will be a full-service condo hotel located in the heart of historic Hendersonville, Western North Carolina. The project will renovate and restore the historic Cedars Hotel while incorporating Fairmont’s signature hospitality and amenities. A condo hotel is a hybrid real estate model that combines condominium ownership with the option to participate in a professionally managed rental program run by Fairmont Hotels. Owners may use their units as a vacation home and have the opportunity to generate rental income when not in use, subject to hotel management and market conditions. The project consists of two six-story towers featuring 130 Fairmont-branded luxury residences, plus 40 sub-units with separate locks, totaling 170 individually rentable units. Unit sizes range from approximately 500-square-foot studios to penthouses of up to 3,635 square feet. This is not an offer to sell securities. Any investment decision should be made after careful consideration of all risks and review of offering materials.
Why Invest
This project appeals to high-net-worth investors who value globally recognized luxury brands like Fairmont. Strong early sales to non-EB-5 buyers reflect real market demand. A 5% preferred return—above typical industry levels—adds financial appeal, while a conservative capital stack and $164 million appraisal support confidence in repayment. Key investor protections, including an I-526E Denial Refund Guaranty and a Completion Guaranty, provide further peace of mind.
Hotel managed rental options for lifestyle and income
Residence owners may participate in a Fairmont-managed hotel rental program or lease independently on a short- or long-term basis. This flexibility allows each owner to tailor property use to meet personal or financial goals.
A restored landmark with full resort style amenities
The Cedars Hotel renovation includes a fine-dining restaurant, spa, pool, meeting spaces, and more alongside unique touches like a coffee shop, wedding gazebo, and dog-friendly “Bark Park.” Once a renowned wedding venue, the Cedars returns with new life and lasting appeal.
Fairmont branded residences in a fast growing region
Just 15 minutes from Asheville Airport, this project benefits from rising demand, limited land availability, and a below-average cost of living—ideal for investors seeking rental income and long-term value in Western North Carolina.
Direct connection to North Carolina’s top adventure destinations.
The site offers panoramic views and year round access to hiking, biking, horseback riding, and climbing in the Blue Ridge Mountains. The nearby town of Hendersonville adds charm and economic appeal, attracting interest from major national and international companies.
686 jobs projected—more than triple the required amount
The project supports 20 EB-5 investors and is projected to create 686.2 jobs, far exceeding the 200-job minimum and providing a 243% job surplus.
Appraised value exceeds total debt by over $130M
With a projected completion value of $164.5M and capped senior debt of $32M, EB-5 investors benefit from a strong second position and full capital coverage, even without EB-5 funds.
Condo sales expected to fully cover all project costs.
Projected sales of $120.3M are expected to repay all capital—including EB-5—while unsold units convert to revenue-generating hotel inventory. Residential Unit Sales (source: Business Plan dated March 2023)
Construction underway following completed site prep.
Demolition and site preparation began in late 2022. Phase I (Pisgah Tower) broke ground in March 2024 and is expected to complete in 2025. Phase II (Dupont Tower and commercial space) is scheduled for Q1 2026, with operations beginning after Phase I delivery. (Source: BlueRidgeNow.com)
Strengths
I-956F Project Approval
The I-956F approval on July 23, 2024, removes project-related denial risk and confirms its compliance with USCIS standards.
Fairmont Hotel Partnership
The project will be managed and branded by Fairmont Hotels & Resorts, a globally recognized name known for its exceptional service.
5% Annual Preferred Return
Investors receive a 5% annual preferred return, net of administrative, legal, and tax expenses.
Strong Collateral Position for EB-5 Investors
The NCE holds a second recorded security interest. With a senior loan capped at $32 million and a projected completion value of $164 million, the capital structure supports strong EB-5 repayment prospects in a sale scenario.
Completion Guaranty
A Completion Guaranty ensures the project will be finished and receive a certificate of occupancy, even if costs run over.
Strong Early Sales
The Developer has already secured 63 deposits from buyers, demonstrating strong demand and broad market appeal.
National Interest Designation Sought
Following severe storm damage in late 2023, the EB-5 Fund has applied for “In the National Interest” status. The NCE Manager secured letters from city and state officials supporting the urgent need for new housing in the Asheville area.
Disclosure
*Preferred returns are part of the deal structure and indicate the sequence of how distributions (from operations or a capital event) are disbursed. They are not guaranteed and should not be considered a financial projection. Actual cash flow and/or distributions from the Company may differ from the preferred return. If the Company’s net cash flow falls short of covering the preferred returns owed, any outstanding balance will accrue until there are adequate funds or proceeds from a capital event to fulfill the annual return obligations. The Company’s Manager reserves the right to withhold all net operating cash flow earmarked for investors, opting instead to accumulate these funds until the repayment of Capital Contributions. Preferred return is only on the unrecovered Capital Contribution of such member that has been invested in the Loan. Investors should review the PPM and the respective offering documents from the Company for full details.
**Job cushion is based on a projected job creation estimate only and does not guarantee the success of the investment nor the success of obtaining permanent residency.
***The refund guaranty is subject to terms and conditions.
This is not an offer to buy or sell securities, which is done by offering memorandum or prospectus only. All investments involve risk. You may lose part or all of your investment. This is not a recommendation, investment advice, or solicitation to sell or buy securities and is not provided in a fiduciary capacity. It does not account for specific investor objectives or circumstances or suggest a course of action. Investment decisions should be made based on an investor’s objectives and circumstances and in consultation with their advisors. This material may contain forward-looking statements that are not guarantees of future performance; actual results may differ from any forward-looking statements. This content is not tax advice; prospective investors should confer with a tax advisor for tax advice. Securities offered through Pinnacle Capital Securities, LLC, Broker-Dealer, member FINRA/SIPC. EB5 Marketplace and Pinnacle Capital Securities are separate, unaffiliated entities.
Disclaimer
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