ValueXpress arranged two separate loans for a repeat client who owns two hotels in the Houston, TX metropolitan area. The first loan was a $10.7-million CMBS conduit loan for the refinance of the full-service Holiday Inn – Westchase constructed in 2011. Located in Houston, the property is a 5-story, 130-room hotel constructed to the new Holiday Inn prototype. The hotel features the new, smaller footprint “Sporting News Grill” sports bar. The property is minutes from downtown Houston near Reliant Stadium and Minute Maid Park. It is in proximity to major corporations including ABB Randall, Halliburton, Jacobs Engineering and Schlumberger.
The second loan was a $6.3-million CMBS conduit loan for the refinance of a Holiday Inn Express hotel constructed in 2010. The property is a 4-story, 101-room hotel.
The loans both provide for a 10-year term with a 25-year amortization schedule and are non-recourse. Financing was provided by an active CMBS conduit lender that has an ongoing relationship with ValueXpress to arrange additional CMBS conduit loans.
This is a follow-on transaction whereby ValueXpress had previously provided loans on three hotels for two of the sponsors of the subject transactions. “Obviously the prior transactions were highly successful or we would not have been asked to step up again for these two new transactions,” commented Michael D. Sneden, Executive Vice President at ValueXpress.