The Hotel Rate Sheet
Current Rates for Hospitality
If you’re exploring debt financing for a hotel, whether it’s an acquisition, refinance, repositioning, or ground-up development, knowing where rates stand across every major capital source is half the battle. This Hotel Rate Sheet cuts through the noise by displaying indicative terms across seven hospitality lending programs in one place, giving hotel owners, investors, and developers a clear side-by-side view of current terms. It includes LTV limits, DSCR requirements, loan terms, interest rate ranges, prepayment structures, and recourse requirements for deals across all 50 states, from limited-service flags to luxury resorts.
| Terms | Bank / CU | Life Co. | CMBS | Bridge | Mezz / Pref** | USDA | C-PACE |
|---|---|---|---|---|---|---|---|
| Max LTV / LTC | 70% | 65% | 68% | 80% | 85% | 80% | 35% |
| Min DSCR | 1.25x | 1.50x | 1.35x | <1.00x | <1.00x | 1.25x | N/A |
| Loan Term | 3–10 Yrs | 3, 5, 7, 10 Yrs | 5, 10 Yrs | 3+1+1 Yrs | Coterminous w/ Sr. | 30 Yrs | 25 Yrs |
| Amortization | 20–25 Yrs | 25–30 Yrs | 30 Yrs | 30 Yrs | None | Self Amort. | Self Amort. |
| Interest-Only | 1–2 Yrs | Partial-Term | Full-Term | 3 Yrs | Full Term | 3 Yrs | 3 Yrs |
| Index | Prime / UST | 3, 5, 7, 10YR UST | 5, 10YR UST | SOFR | Fixed Rate | Prime | 10YR UST |
| Interest Rate Range | 5.75–7.75% | 5.81–6.85% | 5.76–7.11% | 6.65–11.15% | 12.00–18.00% | 8.25–8.75% | 7.19–7.49% |
| Prepayment Penalty | Negotiable | Declining / YM | Defeasance | Negotiable | Negotiable | Declining | Declining |
| Recourse | Negotiable | Non / Partial | Non-Recourse | Non-Recourse | Non-Recourse | Non if <20% Own. | Non-Recourse |
| Ground Up Construction | Yes | Yes | No | Yes | Yes | Yes | Yes |
| Origination Fee | 0.25–1.00% | None | None | 1.00–2.00% | 1.00% | 2.80% | 1.00% |
| Exit Fee | None | None | None | Negotiable | 1.00% | None | None |
** Mezzanine / Preferred Equity terms are indicative and subject to senior capital structure, sponsorship, and business plan.
Disclaimer: The information contained in this rate sheet is for informational purposes only and represents general market indications as of the date shown. Rates, spreads, and terms are indicative, vary by transaction, and are subject to change without notice based on market conditions, sponsorship, property-level performance, and lender underwriting. This material does not constitute an offer, commitment, or solicitation to lend. All loans are subject to credit approval and customary closing conditions.
