BWE has closed two loans totaling $120,000,000 to refinance the Residence Inn Times Square and the Courtyard by Marriott Long Island City, two major hotels in New York City. Steve Perricone, SVP in BWE’s Philadelphia office, originated both loans from an insurance company on behalf of the sponsor, a New York City- and Southeast Florida-based real estate investor with a focus on hospitality.
The loans have 15-year terms with a 15-year amortization period as well as very favorable interest rates. BWE is the servicer on the loans. Although both buildings have a condominium structure, the loans only include the hotel portions as collateral.
“Financing hotels can be tricky, especially when the sponsor has certain pricing and structure expectations that need to be met,” said Perricone. “When BWE was approached to help secure loans for the Residence Inn and Courtyard by Marriott, we worked closely with our client to identify a lender who could provide two separate self-liquidating loans on a tight closing timeline. Thanks to our strong relationship with both the sponsor and a range of insurance company lenders, we were able to identify and negotiate a strong deal that will allow the borrower to operate these two high-performing hotels far into the future.”
