HVS Capital arranges $54.4M of preferred equity for a four-property portfolio

HVS Capital Corp. announced that it arranged $54.4 million of preferred equity for a four-property portfolio that includes the 150-room Embassy Suites Alpharetta, the 190-room Embassy Suites Arcadia, the 286-room Embassy Suites Las Vegas and the 275-room Renaissance Asheville. HVSCC served as an exclusive financial advisor to the owner of the portfolio.

“This arrangement helped refinance an existing preferred equity investment that originated in 2011 when mezzanine debt was out-of-favor with securitized lenders. The new preferred equity has been priced at a mezzanine-type cost by a capital source with the sophistication to navigate a complex structure and the tax issues associated with hotel income,” said Bill Sipple, executive managing director of HVS Capital Corp.