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Avatar Financial Provides Bridge Loan for Hawaii’s Kauai Inn
Avatar Financial Group LLC, a Seattle-based national hard money bridge lender for commercial real estate, provided a $9-million bridge loan for the Kauai Inn, a 48-key boutique hotel in Hawaii. The borrower used the funds to pay off an existing loan and to secure additional cash equity for the property.
The debt has an 18-month term and represents 51.1% of the property’s stabilized value of $17.6 million. The sponsor, Chicken Island, LLC, acquired the hotel in July 2019 for $11.5 million and intends to ultimately retire the Avatar loan with permanent financing through CMBS or a bank.
Situated on three acres at 2430 Hulemalu Rd. in Lihie, the Kauai Inn consists of four two-story buildings and features an outdoor pool, recreational areas, event space, guest lounge and laundry. “This transaction represented an ideal opportunity to finance a well-maintained lodging property in one of Hawaii’s most supply-constrained luxury hospitality markets,” saidT.R. Hazelrigg IV, Avatar’s President & Co-Founder.
