Hotel Loans
Our Popular Hotel Loan Programs
We handle all types of hotel loans including Non-recourse CMBS conduit, conventional bank or non-bank, SBA 7a and 504, USDA, private and hedge funds, mezzanine, etc.
| Conventional | SBA 7(a) | SBA 504 | USDA B&I | Bridge | CMBS | |
|---|---|---|---|---|---|---|
| Loan Size | Generally up to 20MM (Exceptionally banks can go higher with participation or if their lending limit is large enough | up to $5 million | Generally upto $16 million (although a lender may go higher into $20 million range) | Generally up to $10 million | $1 million and up | $4 million and up |
| Time to Complete | 60 days | 45 to 60 days | 75 to 90 days | Loans smaller than $5 million: 75 to 90 days Loans larger than $5 million may take longer for national funds | 30 to 45 days | 45 to 60 days |
| Processing Difficulty | Medium | Low | High | High | Medium | Medium to High |
| Rates | Generally fixed for five years or more | Adjustable based on PRIME index | Generally fixed for five years for the first position loan and fixed for 25 years for the SBA portion in the 2nd position | Can be fixed and adjustable based on PRIME index | Generally fixed for a short period of 1 to 3 years but at high rates | Generally based on 10 year SWAP rates and market driven |
| Prepayment | Negotiable | Three years | SBA portion is 10 years but the first position loan can be negotiable | Generally 3 to 5 years (negotiable) | Genrally minimum of one year of interest | 10 years defeasance |
| Fees | 1% of the loan amount often negotiated for a discount by Scientific Capital | Guarantee Fee | Guarantee Fee, other fees by SBA CDC and the lender | Guarantee Fee, other fees by SBA CDC and the lender | 1 or 2 points in, 1 point out | Processing fee (no origination fee by the originators) |
- Conventional: Generally up to 20MM (Exceptionally banks can go higher with participation or if their lending limit is large enough
- SBA 7(a): up to $5 million
- SBA 504: Generally up to $16 million (although a lender may go higher into $20 million range)
- USDA B&I: Generally up to $10 million
- Bridge: $1 million and up
- CMBS non-recourse: $4 million and up
- Conventional: 60 days
- SBA 7(a): 45 to 60 days
- SBA 504: 75 to 90 days
- USDA B&I: Loans smaller than $5 million: 75 to 90 days Loans larger than $5 million may take longer for national funds
- Bridge: 30 to 45 days
- CMBS non-recourse: 45 to 60 days
- Conventional: Medium
- SBA 7(a): Low
- SBA 504: High
- USDA B&I: High
- Bridge: Medium
- CMBS non-recourse: Medium to High
- Conventional: Generally fixed for five years or more
- SBA 7(a): Adjustable based on PRIME index
- SBA 504: Generally fixed for five years for the first position loan and fixed for 25 years for the SBA portion in the 2nd position
- USDA B&I: Can be fixed and adjustable based on PRIME index
- Bridge: Generally fixed for a short period of 1 to 3 years but at high rates
- CMBS non-recourse: Generally based on 10 year SWAP rates and market driven
- Conventional: Negotiable
- SBA 7(a): Three years
- SBA 504: SBA portion is 10 years but the first position loan can be negotiable
- USDA B&I: Generally 3 to 5 years (negotiable)
- Bridge: Genrally minimum of one year of interest
- CMBS non-recourse: 10 years defeasance
- Conventional: 1% of the loan amount often negotiated for a discount by Scientific Capital
- SBA 7(a): Guarantee Fee
- SBA 504: Guarantee Fee, other fees by SBA CDC and the lender
- USDA B&I: Guarantee Fee, other fees by SBA CDC and the lender
- Bridge: 1 or 2 points in, 1 point out
- CMBS non-recourse: Processing fee (no origination fee by the originators)
