Cronheim Hotel Capital secures $34.15 million for three-building suburban Richmond hotel portfolio
RICHMOND, VA — David Turley, Janet Proscia and Jeffrey Pacailler secured a $34.15 million loan for the refinance of a Homewood Suites and Courtyard in Chester, VA and Holiday Inn Express in Midlothian, VA. The hotels were financed simultaneously but were not cross-collateralized. The financing was sized to a 72% LTV and allowed a significant cash out to the borrower. The rates were fixed at 4.05%. The borrower had the option, which he opted not to take, of lower proceeds - 65% LTV at a 3.69% rate.
The Brandermill Holiday Inn Express is a newly renovated 2003-vintage, 96-key, 4-story limited-service hotel located in the upscale Richmond community of Midlothian. The Chester Homewood is a 2002-vintage, 118-suite extended stay hotel located adjacent to the Chester Courtyard, a 2002-vintage, 135-key, 5-story select service hotel. The Chester properties are located off I-95 south of Richmond near the growing 1,300-acre Meadowville Technology Park and Fort Lee, an Army quartermaster base.
“This transaction is a great example of what CHC does best,” noted David Turley. “Our client, a major owner/operator, approached us with these attractive refinance opportunities along with a list of priorities that required a customized financing structure. We made it happen by leveraging a close lender relationship to secure a loan with an unusual number of flexibilities at a very low rate.”