- March 19, 2014
-- Scientific Capital arranges a 2.7 million loan for the acquisition of the full service Ramada hotel in Cumberland, Maryland. The hotel was taken back by the lender in lieu of the foreclosure. Due to the fact that the hotel financials were not available or reliable, Scientific Capital was able to obtain other historical financial information to satisfy the underwriting requirements and to complete the transaction. The choice of such proof of income depends on the financing program and the choice of the lender.
The financing that was structured at 77% Loan to Cost included $400,000 of PIP (Property Improvement Plan issued by the franchisor). The high LTC was a significant achievement considering the challenging parameters of this transaction. A challenge of this project was to prove the fact that the conversion from the Holiday Inn to Ramada will not in this market and for this hotel result in loss of income. Scientific Capital was able to provide sufficient data to support this claim.
Scientific Capital Group, Inc. (www.scicap.com)
is a hotel financing advisory and brokerage company established in 2003 in Irvine, California offering services throughout the 50 states. For more information, contact Ramin Mostaan at (949) 477-5000 or email him at email@example.com.