HVS Capital Corp (HVSCC) is pleased to announce that it served as exclusive financial advisor to Heartland Hotels and successfully arranged $15 million in first mortgage financing and $3.5 million in mezzanine financing used to acquire a two-hotel portfolio in Minot, North Dakota. The first mortgage was funded by a foreign bank and the mezzanine loan was funded by a high net worth investor.
The two hotels, the Holiday Inn Minot Riverside and the Holiday Inn Express Minot South, are relatively new properties serving the high-growth Minot market. Importantly, HVSCC was able to demonstrate the unique attributes of each of the hotels that assured their future operating success.
According to Bill Sipple, Executive Managing Director of HVS Capital Corp, “In arranging this financing, HVSCC leveraged its strong industry relationships to generate very attractive debt for the transaction -- representing 80% of the total capitalization. The North Dakota markets are challenging from a financing standpoint, as there is a significant learning curve to understanding the depth and breadth of this energy-related market.”
HVS Capital Corp