Due to the project being stalled for the last 5 years, the complexity of the financing structure and underwriting took 6 months to complete, but the development is now back on track and fully funded.
Miami based GenX Capital Partners along with Cap Stack Commercial Real Estate Finance out of Boston, MA recently closed with ACRES Capital, a NY based real estate hedge fund, on a $37 million construction loan for the $53 million Hilton Tapestry Collection Hotel and 44 unit condo development located on the Finger Lakes in Canandaigua, New York. The complex financial structure took more than six months to complete, but once finished allowed the developers to get the maximum amount of funds needed to reboot the stalled project and get it to the finish line.
“The developers ran into some issues, to no fault of their own, when they were promised financing almost four years back from a firm that ended up not having the capabilities to see the deal through. The developers had more than $14 million of their own cash in the deal on the premise that the lender would deliver and when they didn’t, it created chaos and stalled the project. Fortunately myself and Brian Sheehan of Cap Stack Commercial Real Estate Finance were able to step in and procure advantageous financing from ACRES Capital, a solid, reputable firm out of NY who knew the project and sponsorship well, committed the $37 million needed to get the deal closed and back on track,” GenX Capital Partners Managing Director Mark McClure stated.
The Hilton Tapestry Hotel in Canandaigua, NY will be managed by Haymarket Hotels out of Portsmouth, NH, considered by many in the industry to be one of the top boutique management firms in the U.S.
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$37.75MM in Financing For Hotel Development