Vista Capital Company announced that it recently arranged and closed $47,000,000 of financing for the Holiday Inn Hotel & Suites located in Ocean City, Maryland. The financing was provided by a US affiliate of a European-based investment bank. It represents Vista’s third closing in Ocean City and their fourth oceanfront hotel closing in the last two years, affirming Vista’s expertise in financing seasonal, beach-oriented hospitality assets.
Vista Capital was able to negotiate exceptionally favorable, non-recourse, fixed-rate financing with pricing below 5%. “The sponsor was able to refinance an existing loan from 2007,” said Zak Selbert, the founding principal at Vista Capital Company. Despite the vastly different underwriting standards of 2014 as compared to 2007, Selbert added, “The borrower benefited from Vista’s ability to maximize leverage and seamlessly structure a new financing.”
The Holiday Inn Hotel & Suites is a 210-all-suite, thirteen-story, upscale, select-service beachfront hotel, offering an oceanfront pool, an oceanfront children’s pool with water fountains, water slides, and a lazy river, an indoor pool in a four-story atrium, three restaurants in indoor and outdoor areas, and approximately 1,000 square feet of meeting space.