Financing the Purchase and PIP loan of Hotel with
Projections in Virginia
The closing of the Sleep Inn in Virginia is another completed 7a project by Scientific Capital that worth attention. The hotel was leased from an owner who had acquired the hotel in an auction early 2011. Due to the fact that the hotel did not have consistent historical financials, the financing of the hotel would have been extremely difficult. By leasing the hotel, the investors gained two benefits, first he was able to verify the true revenue potential, the realistic level of expenses, and the overall viability of the investment. second, the investor was able to establish a one year reliable financials for the hotel including a 2011 tax return facilitating the financing requirements. Scientific Capital has long advocated this strategy for the acquisition of the hotels with inconsistent historical financials, insufficient revenues, or other circumstances where the seller is willing to offer a one-year lease with an option to purchase.
What Our Client Thinks of Us
Congratulations and thanks to you on successfully funding our acquisition of Sleep Inn & Suites. In this time, where funding is really scarce and lenders are very skeptical to loan money; you are doing a great job preparing, presenting and convincing lenders. It would have been impossible to close this loan without your expertise, and this statement is not just a simple praise; because this property we acquired from bankruptcy, where no financial information was available to verify. Your knowledge of the whole process and use of all the avenues of financing makes me feel comfortable as a buyer of hotel that funding will be taken care by you, making it one less thing to worry! You efficiently manage every single aspect of loan; bank, SBA, franchise, appraisal, inspections etc. Anybody would appreciate your detail oriented work. This was our second project managed by you and I am sure we will use your service in future. I would certainly recommend Ramin for any hotel loan. He should be included as a team member of your project from beginning so you can use his expertise from evaluating of the project to closing of deal.
Our Other Projects With This Client
Finance the purchase and PIP at 85% LTV on projection basis