Seeking $300K for Boutique Hotel Downpayment by Feb 9 - Collateral & Equity Offered

[Joe Shields]

I am currently working on acquiring a commercial vacation rental property, which I plan to transform into an 18-suite boutique hotel, complete with a public bar/restaurant and a pool. However, I'm facing a shortfall: I need an additional $300,000 for the down payment due to a delay in cash-out refinancing on three of my properties. These refinances won't close until February 23rd, unfortunately after the purchase deadline of February 9th. Ideally, I would need the cash for only 14-15 days, though I am open to longer terms if more favorable for the investor/lender.

To finance this acquisition, I've already secured a loan at 70% LTV and plan to contribute $500,000 of my personal funds towards the down payment. To make the deal more attractive, I am willing to offer a first position if the lender/investor can ensure closure by February 9th. The property is valued at $3,000,000 but is under contract for $2,500,000, providing instant equity of $500,000 upon closing.

I am actively exploring ways to quickly secure the required $300,000 and am considering various strategies, including negotiating with lenders or partnering with an investor. Additionally, I am prepared to offer either a first position on the loan or cross-collateralize with my portfolio of seven vacation rentals, valued at approximately $12 million, with $6.5 million in available equity and generating $1.4 million annually in gross rents.

Given the potential of this project, combined with my experience and the collateral available, I seek advice on approaching potential lenders or investors and effectively negotiating terms within such tight time constraints. Any insights, experiences, or contacts you could share would be immensely valuable.