NATIONAL REPORT—Mumford Company, MidCap Funding and CHC Capital have all completed hotel transactions. Here’s a look at a recent sale, plus two financing deals:
Mumford Company Completes Sale of Fairfield Inn & Suites
Mumford Company has completed the sale of the Fairfield Inn & Suites by Marriott Winchester in Winchester, VA. Ed James and Steve Kirby, managing principals of Mumford Company, represented the seller, Front Royal Pike LLC, in the sale of the asset to Aspire Hospitality LLC. This is Aspire’s seventh hotel acquisition and first Marriott-branded property in their portfolio. The 85-room property is close to Shenandoah University, corporate headquarters of American Woodmark, HP Hood, among others.
MidCap Funding Arranges Refi for Holiday Inn Express & Suites
MidCap Funding has arranged a $12 million loan for the refinance of a Holiday Inn Express & Suites totaling 119 rooms in Clearwater, FL. The 10-year loan was structured with a 25-year amortization schedule and executed via CMBS. Loan proceeds were used to take out the existing first and second mortgages, fund the completion of an ongoing property improvement plan and provide the borrower with cash-out proceeds. Taylor W. Grace, managing partner at MidCap Funding, negotiated and spearheaded the loan closing on behalf of the borrower.
CHC Secures Refi for Home2 Suites
CHC Capital has arranged $10,250,000 for the refinance of the Home2 Suites in Lithia Springs, GA. The loan was placed with a national lender and offered a 10-year term and 30-year amortization with an interest rate fixed at 3.6%. The 92-key property was opened in June 2018 and had just completed its first year of operations when CHC began exploring a refinance with the ownership group. CHC was able to secure a deal that provided a return of equity to the Sponsor even with the limited operating history.
