NorthMarq Capital arranged refinancing of Med Center Extended Stay Limited Service Hotel in Houston, Texas

HOUSTON (February 7, 2013) – Warren Hitchcock, vice president of NorthMarq’s Houston-based regional office, arranged first mortgage refinancing for a 92 room Med Center Extended Stay Limited Service Hotel located at 3134 Old Spanish Trail in Houston, Texas. This property attracted a number of potential lenders based on an excellent location near the Texas Medical Center and strong operating fundamentals with occupancy rates over 75%. Financing for this transaction was based on a 10-year term and a 25-year amortization schedule. NorthMarq arranged this financing for the borrower, Med Center Hospitality, LLC, through its relationship with a CMBS lender. “Financing for Limited Service Hospitality has been rare & difficult lately; however, thanks to an improving economic climate, a number of capital sources are looking to finance this asset class,” said Hitchcock. That being said, “Only the best locations and class leaders are aggressively quoted. In this case, the location in the Texas Medical Center was excellent and the borrower was able to achieve high loan proceeds including a cash out refinance.”