Comfort Inn – Phoenix, AZ
- Loan Amount: $5,900,000
- Capital Source: Specialty Hospitality Finance Company
- Purpose of Loan: Acquisition Bridge & Capital Improvements
- LTC: 80%
- Term: 36 Months (Acquisition) & 84 Months (Capex)
The Comfort Inn is a 3-story, 122 key, limited service hotel built in 1997 and located in Phoenix Arizona. The buyer is an established hotel owner/operator, based in Toronto, with assets located throughout the United States and Canada. The property was purchased for $6.3 million, or $51,340 per key, with a $1.1 million major renovation planned throughout the interior and exterior of the project.
The $5.9 million dollar loan represents approximately 80% of the total cost and was broken up into two separate loans with the same lender. The property was purchased with a $4.8 million bridge acquisition loan based on a 36 month term. The loan included 18 months of interest only payments followed by a 25 year amortization schedule and was secured by a first deed of trust on the building and land. The second $1.1 million Capex loan was based on an 84 month fully amortizing term which included 12 months of interest only payments and was secured by the FF&E at the property.
The loan was closed in 30 days.
About Tower Capital:
Tower Capital was founded to enable owners of commercial real estate to achieve their investment goals with the least amount of time, energy, and cost, while creating surety of execution and peace of mind.
Established in 2015 and headquartered in Phoenix, Arizona, Tower Capital provides customized structured financing to investors throughout the United States. We specialize in debt and equity placement ranging from $2 Million to $100 Million and have financed over $500 Million for our clients since inception. We focus on independent financial advising with an entrepreneurial mindset, market vigilance and personalized attention to every client.