New York – PMZ Realty Capital LLC has secured $19 million of loans for two Marriott branded hotels in the PeachState Hospitality portfolio.
“PMZ presented PeachState with financing options that allowed them to recapture invested equity to use for future development projects” commented Peter Berk, President of PMZ Realty Capital LLC. “The hotel financing market is still very active and rates remain historically low for the right deals and sponsors. These deals represent almost $50 million in hotel financing that PMZ has completed for PeachState over the last 24 months.”
The two properties refinanced are the 106-room Courtyard by Marriott in Warner Robbins, GA and the 80-room TownePlace Suites in Albany, GA.
Deal highlights include:
Courtyard by Marriott – Warner Robbins, GA
PMZ Realty Capital LLC arranged a 10-year, non-recourse CMBS loan with 30-year amortization for the Courtyard. “PMZ and PeachState have worked together on many deals over the years. These hotels are important assets in our portfolio. By establishing permanent financing on these hotels, PeachState can continue to execute our strategic growth plan that we mobilized in 2016.” stated Danny Patel, CEO, PeachState Hospitality.
Warner Robbins was ranked by Forbes as the #33 Best Small Places for Business. The metro area has a low cost of living, steady growth and low unemployment. This 106-room Courtyard by Marriot is located near Robins Air Force Base. Major demand generators drawing guests include Houston Healthcare, Northrup Grumman, Boeing, Frito Lay and Purdue Farms.
TownePlace Suites by Marriott – Albany, GA
The TownePlace Suites also secured a fixed rate 10-year, non-recourse CMBS loan with 30-year amortization. “This financing allows PeachState to continue moving towards the company we want to be”, said Mr. Patel, “PMZ was our partner in securing this financing. The right financing is an important contributor that allows us to deliver returns for our investors. That in turn allows PeachState to focus on building a strong team culture so we can provide the best guest experience.”
“PeachState Hospitality is one of those remarkable stories“, remarked Berk. “Hard work, vision and a willingness to grow allow them to push the company to the next level of hotel ownership groups.”
The 80-room property was completed in 2018 with modern amenities including charging stations for Teslas and electric vehicles. Companies generating demand in the market include Albany State University, Proctor & Gamble, and Miller/Coors Brewing Company.