Hampton Inn on Beach Drive in St. Pete Gets Good Deal on Refi Loan
Even though the Hampton Inn at 80 Beach Drive in downtown St. Petersburg is a limited-service hotel with no food and beverage service, its owners, JMC Communities, recognized the need to keep up with the neighborhood.
HFF, a debt and equity advisor with an office in Tampa, announced it has secured a 10-year, $7.5 million loan for JMC Communities, some of which will be used to refinance existing debt on a recent capital project at the 91-room hotel that updated the lobby, meeting rooms and guest rooms.
HFF Director Michael Tabor said the loan represents about 50 percent of the Hampton Inn’s value. The property, built in 2003, also had a fixed construction loan that was maturing soon, which made the timing right.
“What I find interesting about it is that, typically, limited-service hotels may not be the most attractive asset in a market,” Tabor explained. “But the allure of downtown St. Pete — and the high performance of this particular Hampton Inn — made [this loan] as sought-after investment, a competitive process. JMC got a good deal.”
A call to to JMC Communities CEO J. Michael Cheezem is pending return.