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Boston, MA: Jim O’Connell, Principal of
O’Connell Hospitality Group, LLC announced three successful
financing transactions. John Siska, Senior Managing
Director, represented the owners of the Holiday Inn Select,
Woburn, Massachusetts in the refinancing of this 195 room
full-service hotel. The property features the newly
renovated 280 seat Tony Pilla’s Italian Restaurant, first
class banquet and conference facilities, indoor swimming
pool and health club facility. The property was acquired in
June, 2005 and converted to a Holiday Inn Select. The Hotel
is located directly off Route I-95/128, approximately 10
miles north of Boston. “The owners have dramatically
increased market share on a year over year basis and we
expect that trend to continue in the future” said John
Siska, Senior Managing Director of OHG. OHG secured the
$8,850,000 bridge loan which included a structured earnout
provision.
Siska also secured acquisition financing for the 79 room
Hampton Inn & Suites, Vestal, New York. The property is
located in the greater Binghamton area and accommodates
business travelers from IBM, BAE, and the Kirkwood
Industrial Park. After an analysis of various loan terms,
OHG determined that the competitive interest rate and terms
of this deal would satisfy the borrower’s long term needs
and objectives. Non-recourse, long term financing of
$6,600,000 at a fixed rate of 6.1% was obtained by OHG.
In addition to the above transactions, Siska also secured
$7,000,000 in construction/permanent financing for the
ownership group that is
developing the 101 unit Hampton Inn & Suites, Smithfield,
Rhode Island. “Lending Institutions are typically reluctant
to commit to hotel development projects in tertiary markets.
We were able to demonstrate that this property would
sufficiently service the debt given a superior brand, an
underserved market and a quality management team dedicated
to providing superior customer service to their future
client base.” said Siska.
O’Connell Hospitality Group is a full service real estate
company providing brokerage, finance and consulting services
to the hospitality industry. It represents public companies,
financial institutions, equity funds and private individuals
across the United States. |