ValueXpress obtained an $8-million first-mortgage loan commitment through participation by two commercial banks, Community National Bank, headquartered in Great Neck, NY, and First Trade Union Bank, located in Hauppauge, NY. Community National took the lead with a $5-million piece, and First Trade took the balance.
“It’s hard enough to get a conventional loan approved by one bank, let alone two,” commented Kevin Monahan, a senior loan originator at the ValueXpress Northern NJ office. “Throw in cash-out and a land lease and I had banks pretty much hanging up the phone when I presented the transaction.”
“It is somewhat cliché when I say this is a relationship business, but that’s what made this deal a success story. I called a long-time colleague of mine, Ed McElroy at First Trade Union Bank who tied in Mike Ogus at Community National, and the rest is history,” explained Monahan.
The subject property is a 6-story, 115-room limited-service interior-corridor hotel constructed by the sponsor to Intercontinental Hotel Group (IHG) brand standards in 2008; its grand opening was in September 2008. The property features 75 king rooms and 40 queen-queen rooms, 12 of which are suites. Free parking is available at the rear of the hotel. Amenities include complimentary breakfast, meeting room, fitness center, business center, parking facility, in-room safes, high-speed wireless Internet access and 42-inch LCD TVs.
“This is the fifth transaction completed for this client, and we have one more to go in the immediate future,” said Michael D. Sneden, Executive Vice President of ValueXpress. “The sponsor is very happy.”