News By Tag
* Hotel Loan
* Hotel Financing
* Commercial Real Estate
* Commercial Real Estate Finance
* Commercial Mortgage
* More Tags...
News By Place
ReCap secured $8 million permanent financing for newly opened Comfort Inn in the Chinatown NYC
ReCap secured $8 million permanent mortgage loan for newly opened Comfort Inn in the Chinatown NYC for a foreign investor.
By: Real Estate Capital of America
ReCap has again delivered on an impossible financing deal for its client. Johnny Su, COO of ReCap, personally put together the financing package and structure. Johnny Su recalled, “the loan was tough on many fronts. The client was a foreign citizen with no asset or credit history in US and didn’t have a hotel ownership or management back ground. This was his first investment in the United States. With all the new banking regulation of KYC, it was very difficult to secure a loan for a foreigner. In addition, lender typically would not provide a permanent financing to a hotel without 1 year of operating record and financial. To compound the challenges, the client couldn’t provide any meaningful financials from China.”
The client spoke with many bankers and brokers and they all advised him to take a bridge loan for a year and go back to the bank to refinance once he has 1 year of financial and track record. All the bankers, brokers and competing bid for this hotel financing was in the lower teens with all-in cost for just one year loan.
After extensive search, the client was recommended to ReCap for their reputation in dealing with tough loan scenario. Johnny Su, COO of ReCap was able to structure the deal and got the client financing in the low 4% rate on a 5 year fixed rate with 25 year term.
Su recalled that, “the real estate broker whom referred the client to me said that her other big hotel clients told her that this financing offer I put together could not get done and if it did get done, he would give me all his hotels to finance. Well, he was wrong. We always deliver the financing!”
ReCap is a prominent finance boutique assembled by distinguished experts. The professionals at ReCap assist their customers throughout the entire loan process. Their commitment to service and excellence keep customers satisfied and referring ReCap services to their colleagues. “We work hard to provide the best financing in complicated deals,” said Tomer Dicturel, CEO of ReCap, “We succeed where others fail.”