|MEECORP Capital Markets Closes $1.2 Million Mezzanine Loan Toward The Purchase of the Jacksonville Best Inn Neptune Beach, Neptune Beach, Florida
Fort Lee, New Jersey -- Meecorp Capital Markets, a privately owned commercial real estate lender and investment banker specializing in value-added commercial real estate projects, today announced it has completed a three-year $1.2 million mezzanine loan for the purchase of the Jacksonville Best Inn Neptune Beach, a 132-room full service hotel in Neptune Beach, FL.
The funding was made to Mantiff Management Inc, an experienced hospitality-operating group, who owns 12 similar properties throughout the United States.
Falgun Dharia, one of the principals of Mantiff Management Inc, noted that Meecorp entered the picture at exactly the right moment. "The banks consider this project a high risk, and we couldn't get the money," he remarked. "Meecorp jumped right into this difficult situation and worked diligently to make it happen. They were the key factor in enabling us to get to the next step."
Meecorp approved the three-year $1.2 million mezzanine loan with a mezzanine debt to equity ratio of 50 percent and a combined loan to value of 66 percent.
According to Daniel Edrei, director at Meecorp Capital Markets, the urgency of the deal was not a deterrent. "We've had to turn loans around in even faster time frames, so this one did not pose a particular problem," he said.
Edrei also observed that this 'out-of-the-ordinary' situation was fairly common for Meecorp. "We regularly lend to borrowers involved in projects banks won’t touch," he said. " We don't have the strict confines of a bank, and can look broader and deeper at the kinds of loans we make. That's part of what makes Meecorp so unique."
Located at 1401 Atlantic Boulevard in Neptune Beach, FL, the Jacksonville Best Inn Neptune Beach sits on 3.36 acres of land with 213 feet frontage along Atlantic Boulevard and 621 feet of common boundary with a developed shopping center and restaurant. The hotel was first constructed in 1973 and in 2002 and 2003 went through a major renovation.