Stabilized hotels at 65% LTV with a completed PIP qualify for non-recourse CMBS fixed-rate financing starting at approximately 6.25% on the strongest stabilized deals (most CMBS loans price 6.75%–9% depending on asset, sponsor strength, and LTV) for 10-year terms. Post-renovation equity reduces effective LTV, and 12 months of stabilized operating history unlocks the lowest conduit spreads available for hospitality assets.
Written by Ed Freeman, Capital Advisory — PeerSense
Stabilized post-PIP hotel at 65% LTV? Qualify for non-recourse CMBS fixed-rate financing from approximately 6.25% on the strongest stabilized deals (typical 6.75%–9%). Express conduit underwriting for experienced hospitality sponsors.
Minimum 30-35% equity required. Experienced hotel operators with $2M+ net worth, 5%+ post-close liquidity, and a completed PIP with 12 months trailing stabilized NOI.
LTV Target
65%
Est. Rate Range
6.25% – 11%+ (typical 6.75% – 9%)
Term
5-10 years fixed
Recourse
Non-recourse
DSCR
1.25x minimum
Closing Speed
30-45 days
Min Loan Size
$5M
Loan Products
CMBS
This financing is ideal when your hotel PIP is complete, occupancy has stabilized at 65%+ for at least 12 months, and trailing NOI supports a 1.25x+ DSCR. If you currently hold bridge debt at 8-15%, refinancing into permanent CMBS (typically 6.75%–9%, with the strongest deals reaching 6.25%) can reduce annual debt service by 20-40%. The 65% LTV sweet spot gives you the tightest spreads and fastest underwriting. If your property needs more seasoning, consider a bridge extension or mezzanine to reach stabilization.
PeerSense pre-underwrites every deal before presenting it to our institutional capital sources. With 500+ lender relationships and live market rate intelligence, we match your hotel deal with the right capital source — right now.
No upfront retainer · Fee at closing only · Complimentary initial consultation
Written by Ed Freeman, Capital Advisory — PeerSense. Updated March 2026.
Disclaimer: The information on this page is provided for educational purposes only and does not constitute financial, legal, or investment advice. Rates, terms, and availability are subject to change based on market conditions, property characteristics, and borrower qualifications. The rate ranges cited reflect approximate market pricing as of March 2026 and may not reflect current conditions at the time of reading. PeerSense is a capital advisory firm, not a lender. We do not originate, fund, or service loans. All financing is provided by third-party lenders subject to their own underwriting criteria and approval processes. Borrowers should consult with qualified financial and legal professionals before making any financing decisions.