Hotel Program
For select franchise Limited Service and Extended Stay owner-operated hotels.
| Program Highlights |
| 1st Mortgage loan amount |
|
$650,000 to $5,000,000 |
| Purchases (conventional) to |
|
70% LTV |
| Purchases (with SBA 504) to |
|
85% CLTV |
| Refi nance to |
|
70% LTV |
| Cash out to |
|
65% LTV |
| Combined with 2nds to |
|
85% |
| Minimum Average credit score |
|
600 |
Qualifying Parameters
- Properties should have 2 or more years operating history
- Prefer limited service or extended stay with interior corridor
- Minimum 50% Occupancy for last 12 months
- Owner-managed with industry related experience
- Minimal food service component or restaurant leased to others
- Guaranty from all owning 20% or more of EPC or OC
- Minimum 15% cash injection
- No ground leases
Program Options
Eligible commercial property types include select franchise owner-operated hotels.
- 30-year fixed fully amortized, underwritten at 25 years.
- No call provisions or balloon payments
- Fixed, Hybrid and Variable Rate options
- Multiple prepayment penalty options
- Ability to prepay up to 20% of principal within any rolling 12-month period
without prepayment premium
- Cash-out for subject property improvements or purchase another hotel
- Convert from Independent or Reflag
- New construction may be considered on selected franchises