Financing & Other Resources

FINANCING

Since financing in one form or another is an integral part of most transactions, its availability and terms can dramatically affect values. Many sources of financing that had been very active until recently are no longer around. While the pool is rapidly shrinking, there are still some lenders making loans for good quality seasoned assets. There are virtually no loans for new development. Underwriting standards are much more stringent than they had been in the past. This is reflected in higher equity requirements, lower loan to values and more conservative debt coverage ratios. They are looking very closely at both historical and current income trends. Projections are very conservative. Less competition and the fact that hospitality is now considered a riskier class of real estate has resulted in an upward trend in interest rates. Since financing plays such a key role, we are constantly updating our data base of hospitality lenders.

 

RESOURCES

We are a great source for referrals to some of the most qualified professionals in related fields in the hospitality industry, including management companies, legal firms, appraisers, consultants, title, environmental, etc. We have first hand experience with every professional we refer.

 

WEBINARS

On October 6, Maxim sponsored a live webinar*, Distressed Hotels-Workout & Acquisition Strategies and Opportunities, moderated by Craig Sullivan of Old Republic Title, panelists included David Sudeck of the law firm of Jeffer Mangels Butler & Marmaro; Ash Patel, Premier Commercial Bank; Mark LeBlanc, Rim Hospitality Management; Harry Pflueger, Maxim Hotel Brokerage. It was well attended and there were excellent presentations by the panelists and very interesting and timely questions submitted by the attendees. To hear it on demand, please visit the following link. We plan on having more webinars on different pertinent topics in the future. 

*NOTE: Click here to view the Maxim-sponsored webinar. Then click on the "View" button in the new window. Please allow the WebEx viewer to be installed onto your computer.