Hospitality Property Loans

Finance Your Hotel with a Lender Who Speaks Hospitality

Buy, build, or refinance your hotel. From ground-up development to repositioning, our lending team understands the operating complexity, brand standards, and cash-flow dynamics that drive hotel performance — with loans from $1MM to $30MM and a soft quote in 1–2 business days

Apply for a Loan →Schedule a Call

Modern curved blue glass building with palm trees in front under a clear blue sky.

Since 2002 · $6.5B+ Funded · $1B AUM

Financing for Every Stage of Hotel Ownership

Hotel ownership is capital-intensive and cycle-sensitive, shaped by brand positioning and operating expertise. AVANA's hospitality financing focuses on experienced sponsors with clear business plans — whether you're acquiring a flagged select-service property, rebranding a boutique hotel, or renovating to capture higher ADR and occupancy. We structure debt service around realistic operating performance, so you can stabilize the asset and build long-term value.

A Lender Who Speaks Hospitality

We underwrite brand standards, ADR, and occupancy — the operating realities that drive hotel performance, not just the real estate

Four Programs, One Team

SBA 504, conventional, bridge, or construction — from ground-up development to repositioning, across the full ownership lifecycle

Straight, Fast Answers

A soft quote in 1–2 business days from a team that closes hotel deals

Loan Options for Hospitality

Exterior photo of a hotels pool and guest areas

SBA 504 Loans

Long-term, fixed-rate financing with up to 90% of total project costs for qualifying owner-operators. Ideal for acquiring or expanding hotels with strong sponsorship and occupancy outlooks

Explore SBA 504 Program →

Conventional Term Loans

Long-term loans for stabilized hotels—suited to refinancing maturing debt or acquiring assets with proven cash flow

Explore Conventional Program →

Exterior photo of old hotel with a Hotel sign

Bridge Loans

Short-term, interest-only capital to acquire or refinance hotels in transition—renovations, rebranding, or operational turnaround—before permanent financing is secured

Explore Bridge Program →

Construction Loans

Flexible construction and mini-perm solutions for ground-up projects, brand conversions, and major capital improvement programs

Explore Construction Program →

Key Terms & Structures

Rates and structures vary depending on loan type and borrower qualifications

Loan Sizes

Approximately $1MM to $30MM, depending on program and property profile.

Terms

Short-term bridge and construction: up to 3 years.
Long-term / SBA 504 & conventional: up to 25 years.

Leverage

Up to 75% LTV for many structures.
Up to 90% total project costs for qualifying SBA 504 projects.

Pricing

Market-indexed, generally tied to SOFR, CMT, or Treasury benchmarks, with program-specific spreads.

Extensions

Certain bridge and construction facilities offer annual renewal or extension options, subject to performance and documentation.

Use of Proceeds

Acquisition of existing hotels or portfolios

Partner buyouts and recapitalizations

Refinancing existing debt, including cash-out for qualified purposes

Ground-up construction and brand-mandated PIPs

Room, lobby, F&B, and energy-efficiency upgrades

Strategic Partnerships: Oaktree & IHG

Through the AVANA Oaktree Private Credit Partnership, AVANA delivers institutional-grade construction and bridge financing to experienced commercial real estate sponsors, combining AVANA’s sector expertise with Oaktree’s private credit platform

The AVANA–IHG Co-Lending Construction Program offers tailored structures for IHG-branded hotel projects, giving qualified sponsors a specialized lending solution aligned with brand standards and ramp-up expectations.

These partnerships help accelerate funding timelines, sharpen pricing, and create co-investment opportunities for aligned investors.

Hotel entrance with large pillars, palm trees, and evening lighting under blue sky.

A Streamlined Process

We make financing simple, transparent, and fast from application to funding

Submit Application

Submit your application with pre-qualification documents. We’ll review and issue a soft quote within 1-2 business days

Review

We review initial documents and confirm loan structure and key terms. If the deal meets criteria, we issue a Letter of Intent with proposed terms

Approval & Terms

We complete underwriting and order third-party reports as needed. Credit team issues final approval when complete (timing can vary)

Closing & Funding

We prepare final loan documents, open escrow, and coordinate closing. Funds are released once closing requirements are met

Proven Success Stories

We’ve helped businesses across industries

Featured

April 24, 2026

Best Western Plus Hotel in Austin, TX

Loan Purpose:

Refinance

Asset Class:

Hotel

Loan Amount:

$ 7,089,000

Construction of a hotel using modular construction

Featured

August 23, 2024

Construction of a hotel using modular construction

Loan Purpose:

Acquisition

Asset Class:

Hotel

Loan Amount:

$15,000,000

Frequently Asked Questions

Find answers to common questions

Do you provide ground-up construction loans for branded hotels?

Yes. AVANA offers ground-up construction financing for select-service and limited-service hotels under major brands like IHG, Hilton, Marriott, etc. The AVANA-IHG Co-Lending construction program (in partnership with IHG Hotels) is designed to support qualified IHG hotel developers with streamlined capital.

What are common hospitality bridge loan use cases?

Bridge financing works well for hotel acquisitions, PIP completion, or refinancing before stabilization. We work with experienced operators seeking short-term, high-speed capital to close or reposition.

Can SBA 504 be used for hotel financing?

Yes. SBA 504 can be used to purchase or refinance owner-operated hotels that meet SBA eligibility, including majority owner occupancy and brand/franchise approval.

How do you structure hospitality refinancing options?

We offer conventional term loans and bridge options for refinancing hotel assets—whether the goal is lowering rates, pulling out equity, or consolidating debt. SBA 504 is also available for refinancing if the property meets SBA use criteria and has been operational for at least two years.

Ready to Move Your Hotel Project Forward?

Share your property details, capital needs, and timing in a short online form—and we'll come back with a soft quote in 1–2 business days

Apply for a Loan →Schedule a Call ↗

Insights

May 28, 2026

When the SBA Process Gets Complicated, You Need a Lender Who Has Been There Before

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Education

May 5, 2026

White Paper: How Credit Unions Can Serve the Real Estate Financing Needs of Younger Business Owners

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Education

April 3, 2026

What Kills a Multifamily Deal Late in the Process and How Brokers Can Prevent It

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Education

Our Team

About Sanat Patel

As Chief Lending Officer at AVANA Companies and Chair of the Board at AVANA Bank, Sanat Patel brings more than three decades of experience in financial services, private credit and commercial banking, with a proven track record in loan structuring, risk management, and balance sheet growth. Sanat has led strategic initiatives that connect institutional capital with entrepreneurial ambition, supporting the growth of businesses, and owners engaged in commercial real estate across the U.S. He has built and scaled lending platforms in partnership with banks and credit unions, developing tailored financial solutions that drive job creation and foster inclusive economic development.

Sanat Patel

Chief Lending Officer