What We Do: Hospitality
Smith Hill Capital LLC is a commercial real estate lender actively providing first mortgage loans, mezzanine loans, and preferred equity investments secured by hospitality assets located across the United States. The Firm can also purchase performing and non-performing notes. In addition, Smith Hill has the ability to partner with Senior Partners within the capital stack on larger deal sizes when needed.
General Lending Parameters
(subject to deal specificities)
| Loan Amounts: |
|
| Loan Term: | 2-3 Years with Extension Options |
| Interest Rate: | SOFR-Based, Floating (will consider fixed rate) |
| Target Return: | Deal Dependent, Typically Mid-teens + IRR |
| Asset Type: | Hospitality and Mixed-Use (with large hospitality component) |
| Business Plan: | Acquisition, Recapitalization, Renovation |
| Security: | Mortgage, Mezzanine Debt, Preferred Equity |
| Borrower Entity: | Single Purpose Entity |
| Loan-to-Value: | <75% LTV (Higher leverage considered on a deal-by-deal basis) |
| DSCR Requirement: | Deal Specific, will consider properties with less than 1.00x coverage |
| Amortization: | Typically I/O |
| Origination Fee: | Typically 1% of loan amount |
| Exit Fee: | Typically 0.50% to 1% of loan amount |
| CapEx / Other Reserves: | Deal Specific |
| Prepayment: | Minimum Interest negotiated per deal |
| Recourse: | Typically Non-recourse with Standard Carve-outs |
The information in this content does not include all applicable terms or conditions, and is not intended as an offer of any product or service. Our products and services are subject to applicable laws and regulations, as well as our underwriting and other requirements. Not all products and services are available in all geographic areas or to all customers. In addition, eligibility for particular products and services will be determined by us, including satisfaction of applicable legal, tax, risk, credit and other due diligence, and “know your customer”, anti-money laundering, antiterrorism and other policies and procedures. Credit is subject to approval. Rates and programs are subject to change. Certain restrictions apply.
Brendan D. McCormick, CAIA
Managing Principal
917-902-0655
Email Brendan
Connor Carey
Assistant Vice President
516-672-7801
Email Connor
Devin Weinberg
Associate
401-743-1099
Email Devin
Ryan Stark
Analyst
305-510-6668
Email Ryan