SAN MARCOS, Texas, July 15, 2022 /PRNewswire/ -- Mag Mile Capital announced that Mike Taylor [email protected] , SVP of Originations, finalized a loan for $7,475,000 to refinance a four-story, 106-room Holiday Inn Express in the riverfront town of San Marcos. Well-positioned within the Austin and San Antonio Highway Corridor, the hotel is a popular destination in an idyllic college town that was declared by Forbes Magazine in 2019 as the Best Place to Retire in Texas. Mag Mile Capital is a boutique firm that offers preferred access nationwide to high-leverage, non-recourse, commercial real estate bridge loans and permanent mortgages with cash out for hotels, self-storage, multifamily, industrial, retail, office, and other commercial real estate property.
"This loan provided some unique challenges because the sponsor's previous loan was at a much higher rate and was hindering cash flow," said Mike Taylor. "And due to the lack of clarity on how to underwrite hotels, along with a sharp increase in demand patterns since COVID-19, common practice let lenders, bond investors and rating agencies rely on 2019 figures. But in the case of our property and the San Marcos market at large, there has been demonstrated sustainable growth. It was crucial we convince the lender that this growth was sustainable to get them to underwrite the higher cash flows. Fortunately, this was possible through research and presentation of the new demand generators for the property."
- Address: 105 Bintu Drive; Built in 2016, 106-room hotel over 64,764 sq. ft. with 4,574 sq. ft. of meeting space
- Total Loan Amount: $7,475,000
- Interest Rate: 4.65%
- Amortization: 25 years
- Loan Terms: 5 Year Term
- Lender Type: Balance Sheet Lender
- Borrower: Haven Management Services
- Closing Date: 06/28/2022
"Securing a loan for a hotel purchase is difficult enough in the best of times," said Haven Management Services. "It takes a negotiator who has plenty of experience and an established relationship with the lender. In this case, Mag Mile absolutely went above the call of duty with impeccable research, building a solid case that ultimately convinced the lender to finance this deal. We are extremely pleased with Mike Taylor's work and he will be our first phone call for any future financing opportunities."
Mag Mile Capital is a full-service commercial real estate mortgage banking firm headquartered in Chicago with offices in New York, Massachusetts, Connecticut, Florida, Texas, Michigan, Colorado, and Nevada. Mag Mile Capital is a national platform comprised of talented capital markets advisors with extensive experience in real estate debt placement and equity arrangement throughout the full capital stack and across all major asset classes nationwide.
Offering preferred access to premier structured debt and equity advisory solutions and placement for real estate investors, developers, and entrepreneurs, Mag Mile Capital leverages a wide variety of lending relationships and equity capital connections as a leading real estate mortgage banker. Learn more at: www.MagMileCapital.com.
Samantha L. Rivera, Operations Coordinator
SOURCE Mag Mile Capital