Chicago based Clopton Capital is a national commercial mortgage broker dedicated to matching borrowers interested in hotels, industrial, commercial, and multifamily real estate to lenders aligned exactly with their needs for asset-backed funding. Never is this truer than when it comes to funding of hotel developments in construction, being purchased or already functional with renovation/ refinancing requirements. If you are a private investor, small/middle market real estate entity, or a family office anywhere in the USA with hotel investment intentions, we are the hotel mortgage broker to call.
Some Hotel Loan Specifics with Clopton
- Hotel Loan to Value ratio up to 75% (80% with SBA or USDA)
- Up to 10 year fixed rates
- Up to 30 years amortization
- First commercial mortgage & mezzanine positions
- Non-recourse loans available with flexible funding options
- SBA, CMBS and USDA loans (low down payment)
- SBA loans & USDA loans (low down payment)
- Bridge loans (as low as 1:1 debt service)
- Conventional commercial mortgages on good credit
- Purchase, refinance, PIP and construction requirements
- All loans from $1 million to $40 million + and fast underwriting
- We approach only lenders that specialize in hotel financing
- Joint Ventures
We have commercial construction loans adaptable to new-build, build completions, and renovations alike. For hotel enterprises fully functional but with mortgages maturing or with interest rates going too high our array of refinancing mortgages will be of interest to you. Aside from this, our commercial mortgage brokers may see an opportunity to connect you as a hotel purchaser to bridge loans, mezzanine financing, preferred equity, and real estate private equity depending on your needs and situation. All of the above can be connected to investment structures that cover partnerships, trusts, corporations, LLCs, Delaware Corporations, estates, and even foreign nationals.
Our meaningful point of difference is that we can give you direct access to the most competitive hotel lenders in the USA based on the trust and multi-$ billion of closed deals over 10 years. Our close banking and other relevant lender relationships play a big role in closing deals quickly. Once we complete our due diligence we negotiate the lowest interest rates and most comfortable terms to relieve the stress that often accompanies funding projects. Hotel commercial leveraging from $1 million to $40 million is an ingrained aspect of our loan options offered to hospitality clients in every city, town, and rural area in the USA.
Some of Clopton Capital’s real Hotel Property Funding case studies
Case Study 1: A hotel owner structured in an LLC came to us looking to refinance and cash out of an existing Holiday Inn Express located in Florida. He had owned the property for 4 years and had invested significant capital into improvements, thus increasing the net operating income substantially. Local banks on being approached were unable to meet the LLC’s requirements as these were outside traditional parameters. Very quickly we were able to structure a $9 million, 10-year fixed rate loan at a very competitive interest rate, 30-year amortization, and directly cash-out the borrower with over $3 – all while keeping the loan non-recourse.
Case Study 2: A partnership investor wanted to pay off its existing mortgage, and then borrow alongside cash-out funds to perform a PIP on a Best Western located in North Carolina with non-recourse. Additionally, the borrower did not want to be locked into a large prepayment because it did not know what it planned to do with the property. The managing partner was very happy with our resolution: we structured a $7 million, 70% LTV bridge loan that generated $2 million for the PIP with low-interest payments, giving the borrower 24 months to decide on either selling the property or refinancing again with a long-term mortgage.
Case Study 3: A group of investors in a corporation approached us to fund an independent hotel that was on a ground lease with the US Army. The group was looking to obtain a $20 million commercial refinancing of a maturing mortgage that had to be non-recourse, competitive with low monthly payments, and was expected to competently address the complex ground lease (particularly the various outs it contained). We structured a 10-year fixed rate deal with a 30-year amortization provided by a life insurance company fully acquainted with ground leases, at interest rates that were more than acceptable.
Clopton Capital is experienced in dealing with all financing alternatives as they relate to doing the due diligence and underwriting collateral for the full range of hotel property types including full service, limited service, flagged, independent, boutique, and resort to name but a few.
To understand more about commercial hotel property financing, contact one of our commercial mortgage lenders by calling 866-647-1650 or using the Contact Us form available from the menu. We’re always happy to work with investors to find the right loan rates and repayment plans to suit your needs. And with low closing costs attached to a straightforward documentation and underwriting process, your commercial loan process will be stress-free.