Walker & Dunlop Arranges $27M For Hotel, Multifamily
Walker & Dunlop, Bethesda, Md., structured $27.4 million for hotel and apartment assets in Florida and Delaware.
In Kissimmee, Fla., the firm arranged $9.5 million to refinance Comfort Inn Maingate, a 197-key hotel two miles from Walt Disney World resort. A Walker & Dunlop team led by Vice President Jacob Cohen secured a three-year bridge loan for property owner SLB Hotel Group, Kissimmee, Fla.
The Comfort Inn Maingate caters to travelers and tourists of the nearby Orlando, Fla. theme parks. The property underwent major renovations in 2016, and SLB Hotel Group significantly increased the hotel’s net operating income by implementing a revenue management system, resort fees and streamlined operational practices.
“The property owner was looking for a very specific set of financing terms including a relatively short duration and prepayment flexibility,” Cohen said. “We identified a credit union that understood the business plan, was able to lend nonrecourse debt and was excited about lending on a Choice Hotels flag.”
The new loan included some cash-out proceeds and one year of interest-only payments. Walker & Dunlop estimated the new nonrecourse financing will save the borrower $30,000 per month in interest payments.
Walker & Dunlop also structured $17.9 million in financing for Mi Place at Vineyards, a master-planned garden-style multifamily development. Located near downtown Lewes, Del., the newly developed property is close to Atlantic beaches and the Delaware Bay.
A debt placement team led by Jon Kushner and Ben Retter arranged the financing for Fernmoor Homes, Jackson, N.J. The team worked through several complexities on the transaction including multiple construction phases and a complicated ground lease. It identified a regional bank as a financing partner for the project.
Mi Place at Vineyards includes seven buildings, two mixed-use buildings with condominiums and retail space, three fully-leased apartment properties and two single-family homes. Two additional buildings are currently under construction with an early 2020 target delivery date.
