Regency Capital Partners

Hampton Inn & Suites at SFO


Hampton Inn & Suites at SFO

Summary

San Francisco, CA – March 31, 2015 – Regency Capital Partners has arranged $17.5 million in permanent financing for the Hampton Inn & Suites at SFO in Burlingame, CA, a 77-room hotel located 20 minutes south of San Francisco’s Financial District and just minutes from San Francisco International Airport. The loan was placed with UBS and Michael Grausz, managing director, led the financing team on behalf of the borrower, Terrapin Investments.

RCP arranged the 10-year, non-recourse, fixed-rate, financing at a very competitive rate of just over 4%. The financing was provided by a foreign bank.

“UBS clearly demonstrated an understanding of the unique aspects of the property while providing extremely competitive economic terms”, said Michael Grausz, Managing Director of RCP. “With multiple, aggressive quotes, our client was pleased to be able to execute a full-leverage acquisition loan that included funds for a near-term PIP at historically low interest rates.”

The Hampton Inn & Suites is located near Highway 101 in Burlingame, CA; just 20 minutes to both San Francisco and Palo Alto (the heart of the Silicon Valley). San Francisco boasts an unemployment rate of 3.9% which is among the lowest rate in the state. In addition, the San Francisco hospitality market has outperformed most other major office markets nationally over the past 10 quarters. Furthermore, San Francisco is not expected to have any significant new hotel supply for the next five years resulting in a dramatic scarcity of hotel rooms in the market.


Transaction Details

LOAN AMOUNT $17,500,000
FINANCING TYPE Permanent
LENDER TYPE CMBS Lender
PROPERTY TYPE Hospitality
PROPERTY ADDRESS
Map
1755 Old Bayshore Hwy
Burlingame, CA
PROPERTY DESCRIPTION A 77-room limited service hotel in Burlingame, California.