There are many different loans available to hoteliers, depending on what they’re hoping to achieve with their properties. Here are details regarding just a few of the more common loans.
Bridge Loans
Short-term loans that are used until a company is able to find permanent financing or clears an obligation. These are common when an immediate cash flow is necessary.
SBA Loans
Small Business Administration (SBA) Certified Development Company (CDC)/504 loans offer financing for the purchase of fixed assets, such as real estate, buildings, and machinery. These loans have lower rates but more stringent requirements than other types of loans.
CMBS Loans
Commercial mortgage-backed security (CMBS) loans are commercial real estate loans secured through a first-person mortgage on a commercial property.
