You may have seen the recent sale at OHare of the Westin...$230k+ per key. I own a site in the OHare complex and need partner to develop new, full service hotel in area with little recent development of new rooms. Existing restaurant (successful) will be part of the development. Hot, infill site which I have owned for six years. Site is approved for hotel...no rezoning. Major expressway location...full service. PM will be answered. State clearly your role in the deal...brokers welcome. Experienced developer.

Some added details:

Major flag interested in project; need equity JV partner to $25M base debt for development phase; Cash out between $40m-60M.

Preliminary Information

1. Brief Description of the nature of the project and its location.
The project is located in the O’Hare Airport complex on a high traffic, high visibility infill site in a market which supports 1200 hotel rooms. The developer owns three acres at this major intersection which is immediately off a full service expressway exit within five minutes of the airport. This market has seen little new hotel development in the past 10 years.
The plan is to enlarge the site to include an existing fine dining restaurant pulling together the new hotel and the restaurant into a single, full service property of 250 rooms. Several flags are being considered for this project, and we would work closely with a JV partner to maximize value in the selection of the hotel brand.
2. Resumes required on principals.
The developer is an experienced individual who has completed more 500,000SF of similar projects in the Chicago area including hotel, residential, office and retail projects. The developer recently sold a Marriott property which he developed to a hotel REIT.
3. How much capital have the principals invested into this project and specifically how were those funds allocated?
The land was purchased in 2000 after a lengthy approval process in which hotel development was approved by the governing village. The valuation of the vacant land parcel with approvals and other cost to date is $4-million which will represent the developer‘s investment in the proposed JV.
4. What are the other assets that the principals have contributed to said project?
NONE
5. Do the principals have title to the property and what is the status of the appraisal?
YES. The developer holds title to the property in fee simple. An appraisal was prepared several years ago in connection with the approvals for a smaller project, and a new appraisal will be secured for this project as required.
6. Do the principals have all the necessary entitlements?
YES
Please list:
Zoning; Site development; engineering; relocation of major arterial access.
7. How much financing is requested?
$36-million, equity and debt.
8. Please list specific breakdown of funds:
Project Budget $40,000,000
Land and Development Fees $5,000,000
Additional Property Acquisition $4,000,000
Construction and Finish $25,000,000
Opening and Stabilization $6,000,000

9. We need a projection, showing the anticipated annual revenue and net income of the project for a three year period.
Annual stabilized income for the development:
Hotel Revenues $10,000,000
Food Service $2,500,000
Gross Revenues $12,500,000
NOI Projected $5,000,000
Completed Value $62,500,000
10. Current financial statements are required from the principals and or corporate structure.
Tax returns available for LLC which currently owns the land. Developer is not a borrower in this project. Developer will be paid a fee for development and may retain an interest in the project following the sale.
11. What is your exit strategy?
The project will be sold upon completion and occupancy. Our first objective would be to develop this property as a JV for an owner and /or manager, earning fees and completing the transaction upon occupancy of the hotel. The second objective would be to identify a pre-sale buyer, not affiliated with the development process, who would close on occupancy of the hotel. Either of these cases could be a passive investment group or owner/manager organization.
Recent sale of the Westin in this market area was completed at $125-million for 525 rooms (2006.)

NOTE: Exact details of this project are available together with appropriate confidentiality agreements and disclosure of principal investors to which this material will be provided.

I pm'd you regarding this deal...

I trying to start my own mortgage business. Right now am an associate broker for Wes-State mortgage. I can do loans for any type of real estate and business. Prefer deals around $100,000 and up. But do loans as low as $20,000 to no upper limit.