Inland American finances Hotel Monaco deal via BofA loan

In November we learned that Inland American Real Estate Trust acquired the Hotel Monaco in Chicago. Now we've learned how they financed the purchase.

According to Chicago Real Estate daily, a subsidiary of Inland American Real Estate Trust borrowed $53 million from Charlotte, N.C.-based Bank of America N.A. for the acquisition.

The loan was obtained January 17, more than two months after Oak Brook-based Inland American announced it acquired the 191-room hotel, in a $189-million deal that also included a hotel in Denver and another in Salt Lake City. Records show Inland American paid just over $53 million for the Chicago hotel, but recorded hotel sale prices do not include the price paid for fixtures and furniture.

Virtual Event

HOTEL OPTIMIZATION PART 2 | Now Available On-Demand

Survival in these times is highly dependent on a hotel's ability to quickly adapt and pivot their business to meet the current needs of travelers and the surrounding community. Join us for Optimization Part 2 – a FREE virtual event – as we bring together top players in the industry to discuss alternative uses when occupancy is down, ways to boost F&B revenue, how to help your staff adjust to new challenges and more, in a series of panels focused on how you can regain profitability during this crisis.


 

Read more on

Suggested Articles

There are both positive and negative aspects to utilizing preferred equity capital, but it is often the best way to maintain ownership of the asset.

During a conference call hosted by advocacy organization Economic Innovation Group, industry leaders emphasized the need for immediate fiscal help.

Many hotel owners will find themselves in the uncomfortable and unfamiliar position of deciding on a course of action for negotiating with their lende