Oxford Capital Group Nabs $53M Refinance for Tampa Bay Hotel
August 17, 2018
August 17, 2018
Oxford Capital Group has scored a $53 million loan from Marathon Asset Management to refinance construction debt on The Godfrey Hotel and Cabanas in Tampa, Fla., Commercial Observer can exclusively report.
The non-recourse, floating-rate loan carries a spread in the low 400s over LIBOR, sources said, and retires roughly $30 million in previous construction financing from CapitalSource. Additional capital will be provided to the sponsor upon meeting certain performance measures.
Mission Capital Arranges $53M Refinancing of Waterfront Hotel in Tampa
TAMPA, FLA. — Mission Capital Advisors has arranged a $53 million loan for the refinancing of The Godfrey Hotel and Cabanas Tampa, a 276-room hotel located at 7700 W. Courtney Campbell Causeway in Tampa. The waterfront property was once owned by the New York Yankees and served as the team’s spring training home for several decades. Jordan Ray, Ari Hirt, Alex Draganiuk and Justin Hunt of Mission Capital arranged the non-recourse loan through Marathon Asset Management on behalf of the borrower, an affiliate of Oxford Capital Group. Oxford acquired the hotel in 2015 and transformed the property with the addition of 15 guestrooms, complete renovations of guestrooms and the lobby and the addition of the WTR Pool & Grill. WTR includes a pool, cabana club, bar and corporate event space overlooking Tampa Bay.
Tampa Waterfront Hotel Secures $53M Floating-Rate Loan
August 24, 2018
TAMPA, FL–An iconic Tampa waterfront hotel that was once the spring training camp for Major League Baseball’s New York Yankees landed a $53-million non-recourse ramp loan that was structured by Mission Capital Advisors. It was secured by the Godfrey Hotel and Cabanas Tampa, a newly renovated, 276-key, waterfront hotel located at 7700 West Courtney Campbell Causeway.
The Mission Capital team of Jordan Ray, Ari Hirt, Alex Draganiuk and Justin Hunt represented an affiliate of Oxford Capital Group in securing the loan from Marathon Asset Management. The financing will be used to repay the property’s construction loan and return additional capital to the sponsor.
In 2015, Oxford acquired the hotel with plans for a comprehensive redevelopment that would include top-of-the-line amenities and the recently opened WTR Pool & Grill. The result was an upscale pool, cabana club, bar and corporate event space in a poolside area overlooking Tampa Bay.
“Oxford bought this property with the vision to create a unique hotel that has the best poolside venue in the Tampa market,” said Ray. “Just a month after the WTR Pool & Grill opened, there is a lot of action at the hotel and the pool, and we were able to repay the construction financing and replace it with a ramp loan with earn-outs at very attractive terms.”
Repositioning Program Created Added Value
In addition to the pool and cabanas, Oxford’s comprehensive repositioning campaign included the addition of 15 guest rooms; complete renovations of existing guestrooms, with hardwood flooring and other top-of-the-line amenities.
“Ramp loans are based in large part on projecting the property’s path to stability, and that adds a wrinkle of complexity that not all lenders can underwrite,” said Hirt. “However, Oxford’s long standing track record, as well as the incredible product they’ve created at the property, gave capital providers extreme confidence in the sponsor’s business plan.”
Added Hirt: “The loan we ultimately closed is structured with an immediate return on equity as well as an additional earn-out once certain benchmarks are reached, which will bring the total proceeds to the full $53 million.”
Oxford Capital Group, LLC is a national hospitality focused real estate investment, development and management firm. Oxford Hotels and Resorts, LLC is its wholly owned hotel operating and branding affiliate. Oxford, its affiliates, and principals have been involved in approximately $3 billion of real estate and private equity investments, including approximately 13,000 hotel rooms and over 2,000 senior housing units.
Owner of renovated waterfront hotel in Tampa borrows to repay construction loan
Oxford Capital Group the Godfrey Hotel & Cabanas Tampa also borrowed $53M to “return additional capital to the sponsor”
August 26, 2018
The owner of a renovated bayfront hotel in Tampa, the Godfrey Hotel & Cabanas Tampa, repaid a construction loan with a $53 million “ramp” loan.
Besides paying off the construction loan, proceeds of the ramp loan from also will be used “return additional capital to the sponsor,” Mission Capital Advisors said in a press release.
“Ramp loans are based in large part on projecting the property’s path to stability … a wrinkle of complexity that not all lenders can underwrite,” Ari Hirt of Mission Capital said in a prepared statement.
Hirt arranged the loan from Marathon together with Mission Capital’s Jordan Ray, Alex Draganiuk and Justin Hunt.
Several lenders competed for the deal, according to Hirt, before the property owner, Oxford Capital Group, LLC, closed the adjustable-rate $53 million ramp loan from Marathon Asset Management.
The Godfrey Hotel & Cabanas Tampa is a 276-key hotel a 7700 West Courtney Campbell Causeway in Tampa.
The property features the WTR Pool & Grill, a poolside dining and entertainment destination overlooking Tampa Bay.
Oxford acquired the hotel in 2015 and then repositioned it by adding the swimming pool, cabanas, and 15 guest rooms. The company also renovated existing guest rooms, with hardwood flooring and marble counter tops, and redid the lobby with the addition of a café and wine bar.
The waterfront property previously was the longtime spring-training home of Major League Baseball’s New York Yankees. – Mike Seemuth