Commercial Loan News
STEELHEAD CAPITAL, INC. PROVIDES $3.165 MILLION LOAN FOR THE TRUCKEE RIVER LODGE LOCATED IN RENO, NV
San Francisco, CA - July 26, 2004
Hotel Loan Summary:
Steelhead Capital Inc. closed a $3.165 million loan in Reno, NV for The Truckee River Lodge on July 26, 2004. The loan has a 3-year term, priced at Prime + .5% for the first 2 years on and Interest-Only basis, followed by a two-year extension amortized over 20 years. The loan-to-value ratio was 75% with 1.20x debt service coverage. Steelhead Capital arranged the loan through one of its correspondent lending relationships.
Steelhead Capital, Inc. provided financing for the Sponsor to convert their existing hotel asset to an urban multi-family rental project in downtown Reno, NV. The 1987 213-room hotel will be converted to apartments over the next twelve months after completing a modest rehab to the unit interiors. The Sponsor decided to re-purpose the asset to meet the strong rental market demands in the Reno market place. Steelhead Capital was able to provide financing that accommodated the Sponsor's needs to capitalize the conversion process, as well as meet their requirement of flexible pre-payment. The loan is freely pre-payable, as the value will increase from the current $6m value to a stabilized value of over $10m once the conversion is completed and the NOI is stabilized. At this time, the Sponsor will seek to obtain permanent financing.
Steelhead Capital is a premier provider of creative commercial loan financing solutions for commercial real estate investors. Steelhead Capital brings an extensive network of lending sources, structured finance experience with a focus on acquisitions, and a clear commitment to personalized customer service to investors financing properties in any of the 50 states. Steelhead Capital's offices are located in San Francisco, CA. Company information can be found at Steelhead Capital Hotel Loans.
Contact Information:
Steelhead Capital, Inc
415-397-2980 (phone)
415-397-2981 (fax)