STATE COLLEGE, Pa.—Shaner Hospitality Finance, a financial services firm specializing in serving the hospitality industry, has announced the completion of an $8.25 million investment in the Southbridge Hotel and Conference Center in Southbridge, Mass. Shaner Hospitality Finance purchased the existing mezzanine facility and provided additional funds to resize the capital structure and pay down debt.
The investment represents the first completed financing transaction since the hospitality finance company was formed with a $100 million initial capitalization in June 2013.
The Southbridge Hotel and Conference Center combines New England architecture with a 24,000-square-foot conference center facility and features 203 guestrooms, dining room, extensive banquet facilities, a fitness center with heated indoor pool, and a number of recreational offerings.
“With more than four decades of hospitality industry experience and more than $1 billion invested in hotel properties around the U.S. and abroad, we believe there is significant demand for flexible financing that provides a comprehensive understanding of the industry and financing expertise from an owners’ perspective,” said Matthew Q. Raptosh, director of Shaner Hospitality Finance. He said that hotels that have financing needs must be well-located within their markets and possess reasonable barriers to entry, diversified demand generators, and multiple demand segments in corporate, group, and leisure. “There are a significant number of quality hotel companies that with adequate funding and restructuring of their capital can thrive in their markets.”