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Hospitality Financing

Comprehensive capital solutions designed specifically for the hospitality industry, delivering customized financing that fuels your vision from concept to completion.

Hotel Financing Solutions Overview

Comprehensive capital solutions designed specifically for hotel properties

Conventional Hotel Financing

Key Terms: Recourse and Non-Recourse • Fixed or Floating Rates • Assumable • 25–30 Year Amortization • Structurally Flexible

We arrange non-recourse permanent financing for stabilized hotel assets across all U.S. markets—primary, secondary, and tertiary. These loans are ideal for acquisitions and refinances of cash-flowing properties, with competitive rates and customizable terms. All major flags and independent brands are eligible.

Capital Network

Our capital network spans domestic and international banks, CMBS conduits, life insurance companies, and REITs.

Loan Structures

  • Fixed-rate terms of 5, 7, or 10 years with amortization periods ranging from 25 to 30 years
  • Loan-to-value (LTV) ratios up to 75% for acquisitions with fresh equity
  • Up to 70% LTV for refinances

Hotel Bridge Loans

Highlights: Recourse and Non-Recourse • Interest-Only • Future Funding • Flexible Terms

We originate short- to mid-term bridge loans for hotel acquisitions, repositioning, and recapitalizations. These loans are designed for transitional assets—whether undergoing renovation, rebranding, or occupancy ramp-up. Our platform supports both franchised and independent operators who need certainty of execution and speed to close.

Bridge loans are typically interest-only, priced over SOFR or other floating indices, and structured with 12–36 month terms plus extension options. Our team works closely with borrowers to ensure seamless execution and tailored structuring throughout the transition period.

Hotel Construction Loans

Key Features: Up to 75% LTC • Interest-Only • Flexible Draws • 2–3 Year Terms

We source construction financing for ground-up hotel developments through a curated network of banks, insurance companies, and debt funds. These lenders offer non-recourse options for experienced sponsors with strong track records and well-located projects.

Our team underwrites each deal with a focus on sponsorship strength, brand alignment, and market viability. We negotiate on your behalf to secure competitive terms, flexible draw schedules, and timely execution—ensuring your project is fully capitalized from day one.

Mezzanine Hotel Financing

Terms: Recourse and Non-Recourse • Up to 80% LTV • 5–10 Year Terms • Interest-Only Available

We arrange mezzanine financing for hotel acquisitions, redevelopments, and PIP executions. These subordinate loans allow sponsors to reduce equity requirements and increase leverage—ideal for full-service and value-add opportunities in strong markets.

Mezzanine debt is typically co-terminus with senior loans and structured on a non-recourse basis. Pricing is risk-adjusted and tailored to the asset's profile. Our team guides clients through the structuring process to ensure alignment with senior debt and long-term investment goals.

SBA 7(a) Hotel Loans

Best For: First-Time Buyers • Owner-Operators • High-LTV Acquisitions

The SBA 7(a) program is a powerful tool for hotel acquisitions, refinances, renovations, and even new construction. With up to 85% LTV and fully amortizing 25-year terms, it's ideal for operators seeking long-term, low-down-payment financing.

Loan Size: Up to $5M (can be combined with conventional debt for larger deals)
Uses: Purchase, refinance, PIP, renovation, construction
DSCR: Minimum 1.25x
Prepay: Declining 3-2-1% schedule
Guarantee: Required for 20%+ owners
Assumable: Yes, with lender approval
No Reserves: No escrow for taxes, insurance, or FF&E

Pros

High leverage, national reach, assumability, and inclusion of PIP/FF&E costs

Cons

SBA fees, no cash-out, owner-operator requirement

Why HPG Kapital

Hospitality-First Expertise

We understand that hospitality financing requires specialized expertise and deep market knowledge. Our team brings decades of combined experience to help you navigate complex capital structures.

Tailored loan structures built around your unique goals
Direct access to top-tier debt providers with hospitality expertise
Deep understanding of operational needs and industry dynamics
01

Tailored Structures

Built for your unique project requirements

02

Trusted Relationships

Top-tier lenders with hospitality expertise

03

Industry Expertise

Deep understanding of hotel operations

04

Fast Execution

Streamlined process from application to closing

Our Process

A proven approach to delivering optimal financing solutions

01

Project Assessment

Comprehensive analysis of your project needs and financial goals

02

Capital Stack Engineering

Strategic structuring to optimize your financing mix

03

Lender Matching

Connecting you with the right capital partners

04

Closing Guidance

Expert support through documentation and execution

Ready to Finance Your Hospitality Project?

Let's discuss how our specialized hospitality financing expertise can bring your vision to life

Schedule a Consultation