Breaking NewsGlobeSt.com will be offline for scheduled maintenance Friday Feb. 26 9 PM US EST to Saturday Feb. 27 6 AM EST. We apologize for the inconvenience.

 
X

Thank you for sharing!

Your article was successfully shared with the contacts you provided.

(Read more on the debt and equity markets.)

SCRANTON, PA-The historic 145-room Radisson Lackawanna Station Hotel is getting a multimillion-dollar upgrade. Calvin Investments LLC has taken out $8.4 million in permanent financing.

The six-story hotel property was originally built in 1908 at the neo-classical Lackawanna Rail Station. It was converted into a hotel in 1983 with a $13-million redevelopment, and is on the National Register of Historic Places. Carmen’s, the only four-diamond restaurant in the city, resides inside. Its 100th birthday is next year.

AFC Realty Capital arranged the 10-year fixed-rate loan, provided by Bear Sterns. AFC had also arranged acquisition and renovation financing two years ago when the hotel switched hands. This new permanent financing completely recoups the sponsors’ equity investment. Two years ago, Calvin Investments bought the hotel with a $6.84-million senior loan from the Structured Finance Group of Marathon Asset Management.

“Lenders–including Wall Street–will continue to finance compelling transactions, even in tertiary markets,” says Michael Sonnabend, principal for AFC. “Great deals do exist in these markets, and we’ve been able to help lenders understand the value of the opportunities we present.”

Want to continue reading?
Become a Free ALM Digital Reader.

Once you are an ALM digital member, you’ll receive:

  • Unlimited access to GlobeSt and other free ALM publications
  • Access to 15 years of GlobeSt archives
  • Your choice of GlobeSt digital newsletters and over 70 others from popular sister publications
  • 1 free article* every 30 days across the ALM subscription network
  • Exclusive discounts on ALM events and publications

*May exclude premium content
Already have an account?

GlobeSt

Join GlobeSt

Don't miss crucial news and insights you need to make informed commercial real estate decisions. Join GlobeSt.com now!

  • Free unlimited access to GlobeSt.com's trusted and independent team of experts who provide commercial real estate owners, investors, developers, brokers and finance professionals with comprehensive coverage, analysis and best practices necessary to innovate and build business.
  • Exclusive discounts on ALM and GlobeSt events.
  • Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com.

Already have an account? Sign In Now
Join GlobeSt

Copyright © 2021 ALM Media Properties, LLC. All Rights Reserved.