BETHESDA, Md. – Walker & Dunlop, Inc. has structured $9,570,000 in financing for the Comfort Inn Maingate. Located in Kissimmee, Florida, the 197-room hotel is just two miles away from Walt Disney World Resort and offers convenient access to SeaWorld, Universal Orlando Resort, and Legoland.
Walker & Dunlop leveraged its broad network of capital providers to secure a three-year bridge loan on behalf of the property owner, SLB Hotel Group. Walker & Dunlop vice president Jacob Cohen explains, “The property owner was looking for a very specific set of financing terms, including a relatively short duration and prepayment flexibility. We identified a credit union that understood the business plan, was able to lend nonrecourse debt, and was excited about lending on a Choice Hotel flag.”
The new loan included some cash out proceeds and one year of interest-only payments. It is estimated that the rates and terms of the nonrecourse financing will save the borrower $30,000 per month in interest payments.
The Comfort Inn Maingate, a franchise of Choice Hotels, caters to travelers and tourists of the adjacent Orlando, Florida theme parks. The hotel offers amenities such as a fitness center, outdoor pool, transportation to theme parks, as well as free parking, WiFi, and breakfast. The property underwent major renovations in 2016, and the owner has significantly increased the hotel’s net operating income by implementing a revenue management system, resort fees, and streamlined operational practices.
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