MBA Hotel Brokers offers expert capital markets advisory services for hospitality and commercial properties through our affiliate MBA Capital Funding Inc. MBA Capital draws upon 30 years of experience in hospitality and commercial property financing to help clients structure debt and equity for partnership buyouts, refinances, construction, or acquisitions.
Our experienced financial consultants provide expert interface with lenders of every level including insurance company lenders, non bank lenders, banks, hedge funds, conduit lenders, and the SBA, as well as with title companies, attorneys, appraisers, surveyors, environmental auditors, lender’s counsel, and all other third party providers. Our approach is to educate the borrower, by candidly discussing advantages and disadvantages of multiple funding sources. All transactions submitted to MBA Capital Funding are kept confidential and only disclosed to lenders and those directly involved in the transaction.
MBA Capital Funding Inc. has experience in various programs including the government-sponsored SBA 7A, SBA 504, and USDA B&I loans, plus Commercial Mortgage Backed Securities (CMBS) "conduit" loans, recourse and non recourse loans. The capital markets advisors of MBA Capital Funding Inc. are trained to evaluate your financing request and determine the best loan program and financing structure for the least amount of cash down, and the lowest interest rate. In short, whatever your hospitality property financing needs, we will seek to find the best solution. Our very competitive fee is based on the size of your loan and other factors which we can discuss. MBA Capital Funding Inc. is based on integrity and dedicated to an open and honest relationship with you and our Lenders. We have comprehensive knowledge in commercial financing for hotels, and a very in-depth understanding of the hospitality business.
The loan application and underwriting process for hotel financing is daunting and time-consuming, and can be confusing or overwhelming to first time buyers as well as seasoned hoteliers. MBA Capital Funding can provide invaluable services to our clients to make the entire procress go as quickly and smoothly as possible, right through the loan closing.
For more information, please visit www.mbacapitalfunding.com
The following are brief descriptions of typical financing available for purchases in a wide price range:
|Loan Type||Project Price Range||Current Rates||Down Payment||Pre-payment Penalties||Term|
|SBA 7A||$1,000,000 - $5,000,000||Prime + 2.25 to +2.75, Variable||15 - 25%||Yes||20 – 25 years|
|SBA 504||$3,000,000 -
|Fixed or Variable||10 - 25%||Yes||20 – 25 years|
|Conventional, US||Any||Fixed or Variable||25 - 35%||Vary||5 – 20 years|
|Securitized (CMBS)||$3,000,000 and Up||4.5 – 5.5%||30 – 35%||Yes||5 – 10 years|
|Insurance Co||>$10,000,000||5.7%+||25 – 40%||Vary||5 – 10 years|
|Seller 1st or 2nd||Any||6 – 10%||10 – 30%||No||1 – 10 Years|
|USDA B&I||Up to $25,000,000||Fixed or Variable||10 – 30%||Yes||20 – 30 years|
Of course, every transaction is unique. Lenders consider purchasers' credit, the property's past performance, the market location, the purchasers' experience, purchasers' cash down, and other factors. These factors will affect rate and terms. In some loan programs, you may also be able to finance working capital, improvement expenses and standard closing costs into the loan.
"Charlie Fritsch and MBA Hotel Brokers showed a patient yet tireless effort in marketing our property and their data base of potential buyers and sellers and their extensive knowledge and experience is very impressive and effective." - Seller of Country Inn & Suites, Pennsylvania