With several high-profile projects in its portfolio, commercialreal estate lending continued to be a boon for Technology CreditUnion in 2013.

The $1.7 billion financial institution in San Jose, Calif., saidin December it closed on a $10 million commercial real estate loanto developers Pelio & Associates to provide long-term financingfor the Los Gatos Motor Inn located in Los Gatos, Calif.

The Saratoga, Calif.-based Pelio & Associates constructed an8,700 square-foot commercial building on the property in front ofthe hotel, and completed phase one of renovations, according toTech CU. Phase two, including extensive guest room and interiorrefurbishment and upgrades, is expected to be finished by February,the credit union said.

When complete, Tech CU said the renovations will transform theLos Gatos landmark into a higher-end property “that delivers thekind of experience guests who stay in the small, affluent townexpect from their accommodations.”

With its new facelift, the hotel will also sport a new name: Innof Los Gatos.

These types of projects are exactly the ones Tech CU wants topursue – financing regional, niche real estate projects forexperienced borrowers who have a deep understanding and knowledgeof local market dynamics, said Tech CU Chief Banking Officer JoeAnzalone.

“Larger, national lenders can tend to avoid specialty projectslike this one, but we didn't hesitate to embrace the opportunity,given our respect for the sponsorship,” Anzalone said.

He added, “I've had the opportunity to lend to these principalson many projects over a 20-year period and have seen their skillfulapproach to real estate development proven time and again.”

John Shank, a partner at Pelio & Associates and part of theteam overseeing redevelopment for the Inn of Los Gatos, said hisfirm has worked with Anzalone for more than 25 years.

“Their knowledge of financing in the Bay Area market isinvaluable to us. It makes for a win-win on both sides,” Shank saidof Anzalone and his team at Tech CU. “Our projects succeed becausethey're grounded in detailed, strategic planning and strongrelationships that support us along the way.”

Tech CU was involved in several notable CRE projects in 2013. InJuly, the cooperative said it closed on a $3 million residential construction loan to fund a four-unit townhousedevelopment in Menlo Park, Calif.

Last March, the credit union said it also closed on a $9.5 million loan tosupport the refinancing of a multi-tenant property that is locatedin downtown Mountain View, Calif., and counts Google Inc. as one of its tenants.

In addition, Tech CU approved a $5.14 million loan to supportthe purchase of an historic South of Market office building in SanFrancisco.