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Marketplace Listing - Hospitality

$39.0 Million Note Sale

Long Island City, NY

Unlisted

Asking Price:
  • Asset Type
  • Note
  • Property Type
  • Hospitality
  • Loan Status
  • Performing
  • Original Balance
  • $39,000,000
  • Unpaid Balance (UPB)
  • $39,000,000
  • UPB As Of Date
  • Jan 01, 2021
  • Origination Date
  • Mar 06, 2019
  • Maturity Date
  • Apr 06, 2021
  • Loan Rate
  • 6.15%
  • Year Built
  • 1915
  • Year Renovated
  • 2014 / 2020
  • Number of Floors
  • 5
  • Number of Buildings
  • 1
  • Hospitality Type
  • Full Service
  • Number of Rooms
  • 125 Rooms

$39.0 Million Note Sale

Cushman & Wakefield has been exclusively engaged to offer for sale a $39,000,000 Mortgage Loan secured by a 125-Key Boutique Hotel located in Long Island City, NY.  This offering presents an opportunity to acquire a performing loan secured by newly renovated property in a strategic location proximate to a plethora of demand drivers.

The $39.0 million Loan ($312,000 per key) was originated by the Lender in March 2019 to finance acquisition of the hotel.  Prior ownership had invested significant capital and resources to perform a gut renovation and conversion of a historic industrial building into an upscale boutique hotel in 2014.  Upon acquisition in 2019, the current owner further improved guestrooms, food and beverage operations and reconfigured event space to create a desirable destination for its clientele.  The Property features a stylish decor with high-quality finishes including wood ceilings and bare cement floors.  Amenities include a 24-hour state-of-the-art fitness facility and meeting and event space.  In-room amenities include loft-style design with 12-foot ceiling heights and large windows. 

INVESTMENT HIGHLIGHTS
  • Acquire Whole Loan at Basis Well-Supported by Capital Stack
  • Significant Sponsor Basis over $500,000 per Key
  • Upcoming Maturity in April 2021
  • Credit Enhancement with Sponsor Guaranteed Income
  • Minimum Reserve Requirements
  • 2020 Renovation of $3.5 Million ($28,000 per Key)
  • Surging Long Island City Neighborhood proximate to numerous demand drivers
  • Outstanding access to transportation, with travel time to Manhattan of under 10 minutes
  • Superior Operating Margins / Non-Union Labor
  • ICAP Tax Abatement provides minimal real estate taxes through 2040
  • Desirable Loan Structure
  • Leisure Demand Base, provides for Rapid Post-COVID Rebound
  • Fee Interest Ownership
  • Underutilized FAR allows Owner to develop upwards of 29,000 additional square feet



 
Download Offering Memorandum

Disclaimer: The information being provided herein is for informational purposes only. No representation or warranty is made as to the accuracy or completeness of any information contained herein, including, without limitation, any information regarding the condition of the Property, the condition of title or Property descriptions.

Any documents and/or pictures posted herein or elsewhere on the RealINSIGHT Marketplace, (the "Website") are for informational purposes only, and may not represent the current condition of the Property or the condition of the Property at the time of sale. The posting of pictures herein or elsewhere on the Website does not constitute a guarantee that any items represented in the pictures will be present when the buyer takes possession of the Property.

You are encouraged to conduct your own due diligence and investigate all matters relating to the Property. It is recommended that you seek independent advice, including legal advice, to perform your due diligence and that you use good faith efforts in determining that the content of all information provided to or obtained by you is accurate.

Unlisted

Asking Price:

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