Property
Mission Point is a 241-room hotel/resort located on almost 20 acres of pristine northern Michigan land with 1,630 feet of frontage on Lake Huron.

Owner Objectives
Milestone met with the Owner to understand the current debt structure in place and the objectives of the refinancing. The Owner had added value to the resort and was looking to pull some of the equity out. The objective was to maximize loan dollars while achieving a competitive rate and a longer term amortization. Milestone worked with the Owner to consider and analyze various debt scenarios and then calculated prospective owner internal rate of returns using the state of the art software, ARGUS.

Solicitation
After outlining the parameters of the financing need, Milestone prepared a Request for Financing Proposals, a comprehensive offering package on the property, which detailed the resort's amenities, operating history and projected operating forecasts and created a professional package, which highlighted the key informational elements of the property. Milestone personnel have a significant background in hotel development, management and financing, which proved invaluable on this assignment.

Understanding the operations of a hotel and the industry as a whole helped Milestone to be an effective liaison between the Owner and prospective lenders. Requests for financing proposals were sent to more than 40 prospective lenders who specialize in the financing of resorts and hotels.

Negotiation
Milestone received and analyzed several proposals, met with these lenders to discuss Mission Point's operations and conducted site tours at the resort. After a scrutinizing review and negotiations, lenders were asked to submit final financing scenarios.

Closing
While many mortgage brokers' services stop with a signed commitment letter, Milestone continued to assist the Owner in closing the loan. Milestone assisted the owner in negotiating the commitment letter, coordinating the due diligence and reviewing loan documents, all to ensure a timely closing.