Distressed Mortgage Note Purchased from Zions Bank
JACKSONVILLE, FL – October 1, 2011 — Excel Group announced today that the firm has acquired the non-performing mortgage note encumbering the 80-room Holiday Inn Express in Jacksonville, Florida from Zions Bank.
The firm acquired the senior mortgage of $3 million in an all-cash transaction that closed in 14 days from contract. The property has been in Chapter 11 bankruptcy since January of this year.
Excel Group plans to leverage its in-house legal expertise to exit the bankruptcy via an auction to gain ownership of the property. Upon exiting bankruptcy, the firm plans to stabilize the hotel and get conventional financing to refinance 100% of the equity contribution. Excel Group then plans to invest considerable capital to renovate the hotel to bring it to the top of its brand and enable the property to improve market share and market penetration.