Financing the Purchase of Leased Hotel in Ohio
Holiday Inn Express
Scientific Capital arranges a $3.3 million conventional loan for the acquisition of the leased Holiday Inn Express of Salem, Ohio. The buyer had leased the hotel in 2021 and is now exercising his option to purchase. With the loan-to-appraised-value (LTV) at 55%, we were able to push the loan-to-cost which in this case is the Loan to purchase price (LTC) to as high as 81.5%. The loan is fully amortized for 20 years with the an attractive rate that resets every five years. There is no prepay if the property is sold (Soft Prepay) or if the borrower pays down the loan at anytime.