Small Motel Colorado - How to best secure funding/loan?

[Mark Zajaczkowski]

I'm considering buying a small family run motel (10-15 units) in the Western US for $500,000, this would include the land and the business. I have access to $80,000 in a HELOC, but my wife is currently starting her own business, so we may need this money for cash reserves as she gets going. We own a couple rentals where we are generating cash flow, but nothing extraordinary. Owning a motel like this has been our dream since we moved to the West 6 years ago. Anyway, what would be some of the best options for a loan or to secure funding? Commercial-Business loan/Construction loan/Hard Money Lender, etc? What is a typical down payment on a commercial property? Do I need to write a business plan to secure funding for an already operational motel? Any advice/guidance would be appreciated, thank you!

[Will Gaston]

@Mark 

@Mark Zajaczkowski it sounds like your best bet would be to go to a small, local bank who would understand/appreciate the property or location. Call and ask for the commercial lender.

My experience is CRE is the down payment would likely vary depending on how much the building/land or worth vacant but I would likely expect 20-25%.