10/26/11
Non-Recourse Hospitality Reposition Debt to 80% of Cost George Smith Partners is working with a new fund seeking to finance reposition loans for office and hospitality assets from $5,000,000 to $20,000,000. The 1st trust deed will advance up to 80% of total cost. The lender can build in an interest reserve for a pay & accrue structure on assets that are below break-even coverage. Reposition construction will be considered although no ground-up financing is available at this time. Terms of four to seven years will be priced from 8.5%. Loan fees will vary depending upon asset quality.