October 7, 2015
George Smith Partners has arranged $13.9 million in construction financing for a Hampton Inn hotel in the town of Buellton, in the heart of California’s coastal wine country.
The private investor involved in the deal purchased the land last year and expects to complete the limited-service Hampton Inn halfway through next year. The loan is sized at 80 percent of the construction cost and is priced at LIBOR plus 7.5 percent. At three years’ term, the loan also offers two one-year extensions.
George Smith Partners’ investor client in the deal has built nine hotels from the ground up, and completed major renovations on others.