AVANA and IHG Launch Co-Lending Construction Program to Fuel US Hotel Development
AVANA Companies, a direct lender specializing in commercial loans, announces a new co-lending construction program with IHG Hotels & Resorts, one of the world's leading hotel companies. This collaborative initiative aims to accelerate U.S. hotel development within the IHG brand family. Hotel owners and developers seeking to build or convert properties under select IHG brands can apply for these loans, providing a crucial lifeline in a challenging lending environment.
The program offers a borrower-friendly alternative to standard financing through a competitively priced blended rate. It addresses financial hurdles in today's hotel investment landscape, where traditional lenders have tightened their criteria. AVANA and IHG will commit $250 million in construction loans for U.S.-based projects primarily across the EVEN Hotels, avid hotels, Atwell Suites and Holiday Inn brands.
"This collaboration with IHG creates a powerful financing solution for hotel owners in today's challenging hospitality landscape," said Sundip Patel, CEO and Founder of AVANA Companies. "Our institutional investment partners and this co-lending program with IHG amplify our ability to provide crucial financing, driving economic growth and creating jobs in communities across the U.S."
The co-lending program aims to reduce development timelines and supports IHG's U.S. pipeline, which accounts for nearly 950 hotels and represents nearly half of its overall global pipeline. In Q3 2024 alone, IHG signed 54 new U.S. hotels, primarily across its Essentials and Suites brands.
"IHG's strong market position and commitment to owner support make them an ideal lending partner for AVANA," said Sanat Patel, Chief Lending Officer and co-Founder of AVANA Companies. "Our advanced underwriting ensures we vet borrowers thoroughly. We meet with every business owner we lend to, putting a name and face to each loan as part of our due diligence."
"The recent easing of inflation and long-term interest rates are driving owner and developer confidence, and our new co-lending construction program will help further unlock opportunities to accelerate hotel projects," said Lori Tirado-Celniker, Director of Capital Investments & Transactions, Americas, IHG Hotels & Resorts. "We look forward to working with AVANA to deliver an attractive financial alternative and ultimately help owners introduce new brands and standout properties to a wide range of Americas markets."
Since 2002, AVANA has served over 500 small businesses, with 66% of their entrepreneurial customers being black, indigenous and people of color (BIPOC). The company has funded $1 billion in loans to minority entrepreneurs, directly and indirectly creating over 5,500 jobs.
For more information on the co-lending construction program, visit www.avanacompanies.com.
About AVANA Companies:
AVANA Companies (AVANA), founded in 2002, is an asset management platform aimed at building capital for a better tomorrow by stimulating economic growth, creating jobs, and contributing to sustainable projects. Headquartered in Arizona, USA with regional offices in Bahrain and Saudi Arabia, AVANA serves small businesses, entrepreneurs, institutional and retail investors, and credit unions in these markets. AVANA provides private credit commercial real estate loans through AVANA Capital, AVANA CUSO, Ezdaher.sa and LendThrive™. AVANA also offers private credit commercial investment opportunities to institutional and individual investors through AVANA Fund and EqualSeat™.
AVANA Capital, LLC is licensed in California under DBO license number 603K752 and in Arizona under CBK license number 0921662. To learn more, visit www.avanacompanies.com or follow AVANA Companies on LinkedIn.
About IHG Hotels & Resorts:
IHG Hotels & Resorts [LON:IHG, NYSE:IHG (ADRs)] is a global hospitality company, with a purpose to provide True Hospitality for Good.
With a family of 19 hotel brands and IHG One Rewards, one of the world's largest hotel loyalty programmes, IHG has more than 6,500 open hotels in over 100 countries, and a development pipeline of over 2,200 properties.
- Luxury & Lifestyle: Six Senses, Regent Hotels & Resorts, InterContinental Hotels & Resorts, Vignette Collection, Kimpton Hotels & Restaurants, Hotel Indigo
- Premium: voco hotels, HUALUXE Hotels & Resorts, Crowne Plaza Hotels & Resorts, EVEN Hotels
- Essentials: Holiday Inn Express, Holiday Inn Hotels & Resorts, Garner hotels, avid hotels
- Suites: Atwell Suites, Staybridge Suites, Holiday Inn Club Vacations, Candlewood Suites
- Exclusive Partners: Iberostar Beachfront Resorts
InterContinental Hotels Group PLC is the Group's holding company and is incorporated and registered in England and Wales. Approximately 375,000 people work across IHG's hotels and corporate offices globally.
Visit us online for more about our hotels and reservations and IHG One Rewards. To download the new IHG One Rewards app, visit the Apple App or Google Play stores.
For our latest news, visit our Newsroom and follow us on LinkedIn.
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