February 3, 2020
SVP Francisco Nacorda of Mag Mile Capital completed $23,650,000 in CMBS loans for three hotels as part of a Michigan select service hotel portfolio on behalf of the borrower, Stellar Hospitality.
The three transactions cover a Staybridge Suites in Grand Rapids, a Homewood Suites in the Detroit suburb of Novi and a TRU Hotel by Hilton in Sterling Heights, also within the Detroit metro area.
“These were difficult deals with numerous challenges including a condominium structure for one of the hotels, and less than 12 months of operating history for the other two,” said Nacorda.
“Additionally, there was a recent cash flow disruption due to labor strikes in the metro Detroit market complicating matters. However, our team was able to work with our network of lenders to pay off the existing loan and cash out the borrowers existing equity with a long-term, non-recourse loans.”
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