# Hotel & Motel Financing

> Hotel and motel financing from Riverside Park Capital. Permanent and transitional debt for flagged and independent hospitality assets, up to 75% LTV with unlimited cash-out. $500K – $10M across the Top 200 MSAs.

Canonical: https://riversidepark.capital/hotel-motel-financing
Markdown: https://riversidepark.capital/hotel-motel-financing.md

## Quick answer

Riverside Park Capital finances flagged and independent hotels and motels from $500,000 to $10,000,000 in the Top 200 U.S. MSAs. Permanent and transitional programs go up to 75% LTV with unlimited cash-out on qualifying refinances — sponsors are not capped on cash-back proceeds when underwriting supports the leverage.

## Loan parameters

- Loan size: $500,000 – $10,000,000
- Loan type: Hospitality (Hotels & Motels)

## Eligible assets

- Limited-Service Hotels
- Select-Service Hotels
- Boutique / Independent Hotels
- Flagged / Branded Hotels
- Roadside Motels
- Extended-Stay

## Underwriting guidelines

- Maximum LTV: 75% (acquisition and refinance, including cash-out)
- Unlimited cash-out — no dollar cap when leverage is supported by appraisal and trailing 12 NOI
- Minimum debt yield: 10% on permanent, 8% on transitional
- Minimum DSCR: 1.25 on stabilized permanent debt
- PIP / brand-mandated capex may be financed inside the loan
- Term: 5–10 years permanent; 12–36 months transitional
- Recourse: full, partial, or non-recourse depending on leverage and sponsor
- Property must operate in a Top 200 U.S. MSA

## Hotel & Motel Loan Parameters (as of Q3 2026)

| Program | Max LTV | Cash-Out | Min DSCR | Term |
| --- | --- | --- | --- | --- |
| Permanent (stabilized) | 75% | Unlimited | 1.25 | 5–10 yr |
| Transitional / Repositioning | 70% | Unlimited | Interest-only acceptable | 12–36 mo |
| PIP / Capex Inclusion | 75% all-in | Unlimited | 1.20 stressed | 5–7 yr |
| Acquisition | 75% | n/a | 1.25 | 5–10 yr |

- Unlimited cash-out is subject to appraised value, trailing 12-month NOI, and final credit approval.
- Flagged hotels typically price tighter than independents; brand reserves and PIP are factored into underwriting.

- Up to 75% LTV
- Unlimited cash-out
- Top 200 MSAs only

## FAQs

**Q: How much cash can I pull out of my hotel?**

There is no fixed dollar cap on cash-out. Proceeds are governed by 75% LTV and the property's trailing 12-month NOI / debt yield. If the appraisal and cash flow support 75% LTV, you can take the full amount out.

**Q: Do you finance independent (non-flagged) hotels?**

Yes. Independents are eligible up to 70%–75% LTV depending on market, sponsor track record, and operating history.

**Q: Will you fund PIP or brand-mandated renovations?**

Yes. PIP and brand capex can be rolled into the loan amount up to the all-in 75% LTV cap.

**Q: What markets do you lend in?**

Top 200 U.S. MSAs only. Rural and sub-100,000-population markets are not eligible.

**Q: Are these loans recourse?**

It depends on leverage and sponsor strength. Lower leverage and stronger sponsorship typically qualify for non-recourse or partial recourse; transitional and high-leverage permanent debt is generally recourse.

## Related

- [Commercial Real Estate Loans](https://riversidepark.capital/commercial-real-estate-loans)
- [Top 200 MSAs for CRE Lending](https://riversidepark.capital/top-200-msas-cre-lending)
- [Submit a Loan Request](https://riversidepark.capital/apply)

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Source: Riverside Park Capital — https://riversidepark.capital/hotel-motel-financing