Hotel & Hospitality Financing

We finance both independent and branded hotel properties. Branded hotels affiliated with recognized franchise systems such as Marriott, Hilton, or IHG often receive more favorable terms due to their established reservation systems and brand recognition. However, well-operated independent properties with strong occupancy and revenue metrics also qualify for competitive financing.

Lenders focus on revenue per available room (RevPAR), average daily rate (ADR), occupancy rates, and net operating income. Most lenders require at least two to three years of operating history, a stabilized property appraisal, and a franchise agreement if applicable. Properties must typically demonstrate a DSCR of 1.30x or higher.

Yes, we arrange financing for hotel renovation projects including property improvement plans (PIPs) required by franchise brands, conversions from other property types to hospitality use, and additions of new room inventory. These projects are typically structured as construction or bridge loans with conversion to permanent financing upon completion.

Absolutely. We work with lenders experienced in franchise hotel acquisitions, including flag transfers and re-flagging transactions. The franchise agreement, territory analysis, and brand performance metrics are key underwriting factors alongside the physical property and financial performance.