RRA Capital acquired two cross-collateralized hospitality properties in Texarkana, TX, a main shipping corridor & transit hub into the Dallas/Fort Worth area. The properties have a formidable presence in the local hospitality landscape, catering to both extended-stay and business travelers.

The first property is an 85-room extended-stay Marriott TownePlace Suites built in 2006, and includes fully equipped kitchens, complimentary breakfasts, an outdoor pool, fitness center, laundry facilities, and an inviting outdoor patio.

The second property is a 90-room limited-service Courtyard by Marriott, an ideal mid-range choice for business travelers. It houses a Bistro, meeting spaces, fitness center, outdoor pool, and an array of guest amenities.

To facilitate the acquisition, RRA Capital offered two non-recourse, 36-month interest-only loans, each amounting to $5,140,000. With both properties cross-collateralized and cross-defaulted, the total commitment reached $10,280,000. These financing solutions were complemented by 20-year franchise agreements granted to the hotels at the time of acquisition. RRA Capital extended vital follow-on funding of $2.6MM per property to cover required Property Improvement Plans (PIPs), encompassing communal space upgrades and guest room renovations.

At the time of writing, the renovation process is mid-construction, during which the hotels will remain fully operational, ensuring seamless service continuity. These upgrades aim to enhance guest experiences, making the properties even more alluring to discerning travelers.