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| Selected Transactions |
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Debtor-In-Possession Financing |
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| Overview |
240-room hotel in “A” location with superior room size. |
Project Details |
The hotel was underperforming due to its physical condition and poor management, resulting in bankruptcy. |
Opportunity |
To provide a Debtor-In-Possession (DIP) loan and secure a senior position above all other lenders. |
Structure |
Provided a $40.5 million first mortgage DIP loan, per a court approved recapitalization and renovation plan. SCS arranged for a subordinated co-investment by an experienced hotel investment and management company in response to the borrower's limited management and oversight capabilities. |
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