Gainesville, FL: November 12, 2015: Eastern Union Funding, a top 10 commercial real estate debt brokerage, closed an acquisition loan for a hotel in Gainesville yesterday. The hotel, purchased as the Paramount Plaza Hotel and Suites, will, in coming weeks, become a flag of Wyndham Hotels & Resorts, the international resort chain’s first Gainesville location.
Eastern Union’s Managing Partner and Co-Founder Abraham Bergman, together with David Singer, SVP of banking relationships, closed a three-year non-recourse $8.8 million loan with a rate of 5.7 percent over 30-day LIBOR. The Bancorp Bank provided the funding, which includes almost $2 million for the new owner’s property improvement plan.
“Bancorp is one of the most competitive national lenders we know for both CMBS and floating rate transitional product. This deal had plenty of moving parts, but thanks to the skill of the whole team we were able to arrange a smooth execution,” Bergman said.
Bancorp Managing Director Jonathan Kohan noted this deal underscores an increasingly strong relationship with Eastern Union Funding. “Eastern Union is constantly bringing us quality deals both for our CMBS and floating rate balance sheet programs. In this case, the Sponsor’s commitment and business plan, the proximity of the Property to demand generators and the surging real estate climate in Gainesville combined to make for a great execution” Kohan said.
The 197-key hotel is located at 2900 SW 13th Street. Its new owner, Golden Universe Hospitality Services of Florida, says the strengthening market contributed to the company’s plan to acquire the hotel and align it with the Wyndham brand.
“Gainesville is a market that continues to strengthen. Similar to other major college towns, the growth corresponds to increased enrollment in large nearby colleges,” a spokesperson for Golden Universe said. “With Wyndham establishing a flagship for the first time here, this deal illustrates the strengthening economy and the excellent standards to which the property has been maintained, and which the new ownership will continue to improve upon.”
About Eastern Union Funding: Founded in 2001, Eastern Union Funding is a top 10 commercial mortgage brokerage, according to Mortgage Bankers Association’s annual survey, and one of the top 50 fastest growing companies in NYC, as reported by Crain's New York Business the past two years straight. A trusted advisor to its clients and innovation leader in the commercial mortgage marketplace, Eastern Union caps its fees at $135k and closes an average of $3 billion in annual transaction volume nationwide. The firm’s sophisticated debt solutions are complemented by a one-of-a-kind Equity Division. Eastern Union is headquartered in New York, with offices in New Jersey, Maryland and Israel. For more on the country’s most trusted commercial mortgage brokerage visit www.easternuc.com.