Michael McCleary of Dockerty Romer & Co. has arranged construction financing in the amount of $14.8 Million for a four story, 114 room ocean front Springhill Suites By Marriott in New Smyrna Beach, FL.
McCleary arranged the financing through a Florida based community bank. The loan is fixed at 4.25% for five years. During the construction phase, the loan is interest only, converting to a 25 year amortization upon project completion.
McCleary stated, “Several local and national lenders threw their hat in the ring, but most were only able to offer floating rate during construction and not willing to fix the rate until the hotel opened for business. The developer and their investors were adamant in their need for a fixed rate from day one in order to avoid future interest rate risk impacting their IRR model.”
McCleary went on to say “It was truly a pleasure to work with such an experienced group of hospitality developer/ operators. It was their level of professionalism that enabled what is often an arduous process to go smoothly and close quickly.”
Dockerty Romer & Co. based in Delray Beach, Florida is a full service commercial mortgage banking and real estate brokerage company specializing in the capitalization of income producing properties. Dockerty Romer & Co. has closed nearly $6 Billion of real estate transactions since its inception in January 2000.