Spirides Hospitality Finance Company successfully arranged, and its client has closed on a $5-million senior loan facility from a southeast U.S. headquartered bank to finance the development of a new Holiday Inn Express in Latta, S.C.
This soon to be built Holiday Inn Express will have 68 guestrooms and suites in one four-story building situated on 4 acres of land. It will be located at 1325 Cattle Farm Road at SC Highway 38, just off of Interstate 95 Exit 181 near the city of Latta in Dillon County, S.C., which is part of the Florence metropolitan area.
The site of this new Holiday Inn Express development is located just a few minutes drive from the recently opened South Carolina Ports Authority’s Inland Port Dillon, a $50.5 million intermodal cargo transfer hub located 130 miles from the Port of Charleston, SC. Inland ports are where trains and trucks exchange tens of thousands of overseas shipping containers packed with consumer goods. Also located nearby are Darlington Raceway & Museum, McLeod Regional Hospital, Florence Civic Center, regional offices of Mohawk Industries and Johnson Controls and two South Carolina National Guard stations.
The terms of the hotel construction financing arranged by Spirides for this new Holiday Inn Express development project include a 78-percent loan-to-cost ratio, an interest rate of U.S. prime rate plus 1.75 percent, a 12-month interest-only period through the construction phase and a 25-year term with a 25-year amortization. There is no prepayment penalty after the first three years of the loan.
Holiday Inn Express is IHG’s fastest-growing franchised brand. It has operated for more than 25 years in the midscale limited-service segment of the lodging industry.
Based in Tampa, Fla., Spirides Hospitality Finance Company arranges mortgages and loans for hotel owners across the United States for new ground-up construction, acquisition, debt refinancing, renovation and other types of hotel capital projects. Its sister company Spirides Hospitality Realty Company is a real estate brokerage company that assists investors with the buying and selling of hotels.